Chhimek Laghubitta re-applies for 40% dividend to shareholders; Capital to reach Rs 1.18 arba after adjustment

Chhimek Laghubitta Bittiya Sanstha Limited (CBBL)'s 212st BOD meeting had proposed 40% dividend including 18% bonus shares and 22% cash dividend for the FY 2074/75. The dividend was supposed to be distributed after approval from Nepal Rastra Bank and upcoming AGM of the company. However, Rastra Bank had disapproved its proposition for dividend distribution.

Why had CBBL's dividend been disapproved?

However, now CBBL has again applied for the same amount of dividend. According to the official at Chhimek, "We have fulfilled all the requirements set by the NRB and have re-applied as we had mentioned earlier." He added, "The approval or disapproval is still in the hands of NRB but we have done all the things that we were asked to do."

If the company receives approval, after the adjustment of bonus shares, the company’s paid-up capital will reach Rs 1.18 arba.

For the FY 2073/74 the microfinance company had distributed 19.89% bonus shares and 25.11% cash dividend.