Nepal Insurance Company Limited is set to hold its 76th Annual General Meeting (AGM) today, Chaitra 19. The meeting will begin at 11 AM at Nepal Pragya Pratishthan, Kamaladi, Kathmandu. Several key agenda items, including dividend distribution and amendments to the company’s articles, are set to be discussed.
Dividend Distribution Plan
One of the main highlights of the AGM is the proposed distribution of dividends. The company plans to provide a 15% bonus share on its current paid-up capital. Additionally, 0.79% cash dividend will be issued for tax purposes. If approved, this distribution will increase the issued and paid-up capital of the company significantly.
Approval of Financial Statements
The meeting will also focus on reviewing the company’s financial performance for the fiscal year 2080/81. The agenda includes passing the annual report of the Board of Directors and approving financial statements such as the balance sheet, profit and loss account, and cash flow statement. The auditor’s report will also be reviewed to assess the financial health and transparency of the company.
Appointment of Auditor
Another crucial item on the agenda is the appointment of an auditor for the financial year 2081/82. The Audit Committee has recommended the reappointment of the current auditor, whose remuneration will also be determined in the meeting.
Amendment of Issued and Paid-Up Capital Provisions
A significant proposal under discussion will be the amendment of the company’s issued and paid-up capital provisions. As per the decision made during the company’s Special General Meeting on 2081/02/04, the right share ratio may be revised based on the paid-up capital after issuing 40% right shares (10 shares equal to 4 shares). After the issuance of bonus shares for fiscal year 2080/81, the company’s issued and paid-up capital is expected to reach 2.94 billion rupees. To align with these changes, amendments will be made to Section 5 (b) and (c) of the company’s articles of association.
Corporate Social Responsibility (CSR) and Other Proposals
The meeting will also review and approve the company’s corporate social responsibility (CSR) expenses incurred during the year. Additionally, a proposal will be introduced to authorize the Board of Directors to make any necessary amendments to the company’s articles and regulations based on regulatory instructions from concerned authorities.
Shareholder Eligibility and NEPSE Trading
For shareholders to be eligible for the AGM and dividend distribution, the company had closed its books on Chaitra 7. This means that shareholders who had traded their shares on NEPSE until Chaitra 6 will be entitled to participate in the AGM and receive the approved dividends.
With crucial financial decisions on the table, this AGM is set to shape the company’s future direction. The proposed amendments, dividend approvals, and auditor reappointments will have long-term implications for Nepal Insurance and its stakeholders.
