Analysts positive on DiGi move

DiGi.Com Bhd's capital distribution announcement came as no surprise to the investment community and was welcomed as a timely initiative.

The company's management had previously indicated that it would undertake capital management initiatives to reward shareholders, who had bought into the strong dividend-yielding stock, in anticipation that its earnings for the next three financial years will be impacted from accelerated depreciation charges related to existing equipment as the company commenced its network modernisation programme.