Bermuda Press (Holdings) Ltd plans to reinstate a quarterly dividend and buy back up to $1 million of its own shares.

The company, which owns this newspaper, as well as retail, real estate and commercial printing interests, has suspended the dividend for six consecutive quarters.

But its board of directors has announced a payout of five cents for shareholders of record at March 15, payable on March 31.

The Bermuda Stock Exchange-listed company’s shares closed at $6.50 on Friday — their lowest level in 16 years — giving the company a market capitalisation of $9.1 million.

The share repurchase programme, approved by the BPHL board of directors and which becomes effective on March 1, authorises the buying back of up to $1 million of shares. At Friday’s closing price, that would equate to 153,846 common shares, or 11 per cent of the total outstanding shares, the company stated.

“The BPHL board believes the repurchase is the best strategic way to add value to shareholders, as the shares are currently trading below their book value on the BSX,” a BPHL statement explained.

The group’s last annual report stated that shareholders’ equity per share was $19.25, as of September 30, 2014 — more than three times the listed share price on the BSX.

In 2014, Stephen Thomson, chairman of BPHL, said dividend payouts had been suspended to allow cash flows to be used in the consolidation of businesses acquired from MediaHouse, which BPHL bought in 2014, and to minimise borrowings.

Mr Thomson said BPHL had fought hard during a difficult economic period in Bermuda, while “both staff and management have worked tirelessly to integrate the MediaHouse operations, increase efficiency in our businesses, and preserve the role of the independent media in Bermuda”.

The BPHL companies have been operating on the island for 188 years and BPHL has been listed on the Bermuda Stock Exchange since it opened in 1971.

The company added: “BPHL shares are widely held, with more than 600 shareholders across the Bermuda community.

“At present, the BPHL companies employ more than 200 Bermudians who make a significant contribution to the local economy as Bermuda’s most trusted source for news and information, the largest commercial printers, and a leading vendor of office equipment and supplies.”