Siddhartha Bank Limited’s 25th Annual General Meeting approved a total dividend of 20 percent for ordinary shareholders from the bank’s distributable profit for fiscal year 2082/83. The package comprises a 10 percent bonus share dividend and a 10 percent cash dividend. The meeting also approved issuing bonus shares worth about Rs 1.47 billion against the bank’s existing paid-up capital of Rs 14.79 billion, together with a cash dividend of the same amount, including the amounts required for tax on the distributions.
Dividend package approved by shareholders
The approved proposal combines two forms of shareholder returns. Under the 10 percent bonus component, eligible ordinary shareholders will receive additional shares in proportion to their existing holdings. The other 10 percent will be distributed in cash. The decision was made at the bank’s 25th AGM and relates to profits distributable for fiscal year 2082/83.
The AGM’s approval covers both the bonus issue and the cash payout. The bonus shares are valued at approximately Rs 1.47 billion, based on the bank’s existing paid-up capital of Rs 14.79 billion. The cash dividend is also stated at the same amount. The proposal includes provision for tax associated with the bonus shares and the cash dividend, so the approved distribution accounts for tax purposes as well as the shareholder returns themselves.
The two-part structure means the package is not a 20 percent cash payment. Half of the declared rate is in bonus shares, while the other half is in cash. For ordinary shareholders, the value and form of the benefit therefore differ between the two components: the bonus portion is issued as shares, and the cash portion is paid as money. The AGM approved the combined 20 percent rate from distributable profit for the fiscal year.
What the approval means for the bank’s capital
The bonus-share component will add shares to the bank’s existing paid-up capital. The meeting’s approval to issue shares worth about Rs 1.47 billion is tied to the current paid-up capital of Rs 14.79 billion. The announcement identifies the amount and the basis for the issue, while the overall dividend decision sets the distribution for ordinary shareholders.
A bonus issue and a cash dividend deliver returns in different forms. Bonus shares increase the number of shares held by shareholders receiving them, while a cash dividend provides a direct cash distribution. The approved plan includes both, rather than directing the entire dividend into either additional shares or cash. The 10 percent bonus and 10 percent cash components together make up the declared 20 percent dividend.
The tax provision is also part of the approval. The bank’s proposal includes amounts for tax purposes on the bonus shares as well as on the cash dividend. This means the resolutions cover the tax treatment associated with both sides of the distribution, in addition to approving the share issue and cash payout. No further details about payment dates, eligibility cut-off dates or the per-share cash amount were provided in the information available about the AGM decision.
Decision at the 25th AGM
The dividend resolution was among the matters passed at Siddhartha Bank’s 25th Annual General Meeting. The decision relates specifically to distributable profit for fiscal year 2082/83 and authorizes a combined distribution to ordinary shareholders. The approved rate and the stated values of the bonus and cash components provide the central terms of the package.
With the AGM’s approval, the bank has secured shareholder authorization for the 10 percent bonus issue and 10 percent cash dividend. The approved bonus shares are worth approximately Rs 1.47 billion against paid-up capital of Rs 14.79 billion, and the cash dividend is set at the same amount, with tax provisions included for both components. The meeting’s decision therefore confirms a mixed distribution of shares and cash rather than a single-form payout.
