Dividend Amendment: Mega Bank Limited Reduces Bonus Share Percentage, Makes Adjustment for Dividend Tax

Mega Bank Limited (MEGA) has amended the dividend proposal for the fiscal year 2077/78.

The company had previously proposed a 12.07% dividend, entirely in bonus shares. However, Nepal Rastra Bank then ordered the company to also allocate a portion of the dividend for tax purposes.

As such, the company has now proposed a 10% bonus shares and 2.07% cash dividend on the paid-up capital of Rs. 14.65 Arba. Thus, the bonus shares are worth a little over Rs. 1.46 Arba and the cash dividend is worth slightly over Rs.
30.33 crores.

The dividend will be distributed only after approval by the central bank and endorsement by the company's upcoming AGM.

As of writing, MEGA has an LTP of Rs 339.70.