(the stock was down 3% to $120.72 on Friday)
Titanium producer Tronox Ltd. (TROX) on Friday declared a dividend of $1.25 per Class A and B shares, saying it plans to continue that dividend on a quarterly basis, payable August 13 to shareholders as of July 13.On Tuesday UBS initiated with a "Buy".
Tronox also said its board approved a 5-to-1 stock split in which holders of Class A and B shares as of July 20 get 4 additional shares for each share of the same class by way of bonus issue, as well as the repurchase of up to 2.5 million Class A shares in open market transactions.
“While we have considered issuing a special dividend as a way to return capital to shareholders, we believe our stock is undervalued at the present trading levels and therefore the best use of corporate resources is to invest in ourselves at these prices by repurchasing our shares,” said Tom Casey, Tronox chairman and CEO, in a statement . “We intend to begin this program as soon as practical and expect to be purchasers of our shares for as long as and in amounts that we believe will create value for our shareholders....MORE