Abstract

The present paper focuses on the impact of dividend policy on shareholder s wealth in sugar industries of Pakistan For this study we have selected the sample of 33 listed companies of sugar industry out of 36 at Karachi Stock Exchange from the food and producers sector The data is collected for the period of 6 years from the year 2006 to 2011 For this study descriptive statistics and multiple regression analysis is used by taking dividend per share DPS earnings per share EPS Lagged Market Price Ratio LMPR Lagged Price Earnings Ratio LPER Price Earnings Ratio PER Retained Earnings Ratio RER as independent variables and market price per share MPS as dependent variable The R2 shows that 99 variations in MPS are due to the explanatory variables The p value of the f statistic shows that all the regressors have jointly significant relationship with dependent variable MPS