Kathmandu: The meeting of Board of Directors(BODs) of Nepal Reinsurance Company Limited ( Nepal Re) has proposed dividend. The meeting held on 19 June has proposed to distribute 5 percent bonus share and 0.2632 percent cash dividend for tax purposes on the bonus shares.
The company has allocated cash and stock dividend from the distributable profit of the fiscal year 2077/78. The company will request the Government of Nepal (GoN) for the approval of dividend in accordance with the provision of sub-section 2 of section 182 of the Companies Act 2063. Once the GoN gives nod to distribute dividend, the company needs to get approval from the Insurance Board too.
The current paid up capital of the company is Rs. 11.65 billion. After the distribution of the proposed bonus share of Rs. 582.5 million, the paid up capital will reach Rs. 12.23 billion. The company had earlier paid 16.5 percent bonus share and 2.5 percent cash dividend from its profits up to 2076/77. After the second dividend declaration, the total dividend declared after the IPO issue will accumulated to 24.2632 percent.