Why Kossan’s Special Dividend Looks Inevitable

Kossan is now holding around RM1.6–1.7 billion in cash, with no major expansion plans, minimal debt, and steady profits. For comparison, Riverstone runs its glove business comfortably with only RM600 million cash, and Hartalega—despite having less cash than Kossan—already rewarded shareholders with a 10.85 sen special dividend last year.

That means Kossan’s cash pile is far beyond what it actually needs for operations. Even after keeping RM800–900 million as a safety buffer, it still has RM700–900 million in excess cash. The company has already shown willingness to reward shareholders — it gave a special dividend in 2024 and has been actively buying back shares in 2025.

With cash continuing to build up, no immediate expansion, and management openly using capital for buybacks, the next logical step is to return the extra cash through another special dividend.

In short:
Kossan’s cash position is too large to ignore — it’s no longer a question of if, but when.