Super Madi Hydropower Announces Dividend Distribution
22nd November 2025, Kathmandu
Super Madi Hydropower Limited (SMHL) has formally declared its dividend proposal for its shareholders, following a decision made during the board meeting held on November 20, 2025 (Mangsir 4, 2082).
Super Madi Dividend Distribution
The proposal is set to be presented at the company’s upcoming Annual General Meeting (AGM) for final approval before distribution can commence.
Dividend Proposal and Capital Impact
The company’s dividend distribution is based on the accumulated profits generated during the previous fiscal year, reflecting a decision to prioritize capital retention alongside shareholder returns.
Total Proposed Dividend: The board has proposed a total dividend of 5.2642 percent from the profits of the fiscal year 2024/25.
Bonus Share Component: The primary part of the dividend is a 5 percent bonus share issuance. This decision will increase the company’s paid-up capital from its current level of NPR 2.205 billion by approximately NPR 11.02 Crores. The issuance of bonus shares is a common strategy used by hydropower companies to meet minimum capital requirements or to signal operational stability, and it will require subsequent amendments to the company’s Memorandum and Articles of Association.
Cash Dividend Component: An additional 0.2642 percent cash dividend has been proposed. This smaller cash component is specifically designated to cover the necessary tax liabilities that shareholders incur on the total dividend distribution, ensuring the bonus shares are fully tax-paid.
Distribution Timeline: The proposed dividend will be presented and finalized at the company’s 16th Annual General Meeting. Distribution to eligible shareholders will begin only after the proposal is approved by the AGM and subsequently ratified by the Nepal Rastra Bank (NRB) or the relevant regulatory body.
Annual General Meeting and Eligibility Details
In conjunction with the dividend announcement, the company has finalized the details for its 16th AGM, which determines shareholder eligibility for the proposed returns.
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AGM Date and Location: The 16th Annual General Meeting is scheduled to be held on December 19, 2025 (Poush 04, 2082). The meeting will take place at the Hotel Imperial Kathmandu, located at Battisputali, Kathmandu, starting at 11:00 a.m.
Book Closure Announcement: For the purpose of determining the eligibility for both the dividend distribution and attendance at the AGM, the company has declared a book closure on Mangsir 16, 2082.
Shareholder Eligibility: Only those investors who are registered as shareholders in the records of the Nepal Stock Exchange (NEPSE) by the end of trading on December 1, 2025 (Mangsir 15, 2082), will be entitled to receive the proposed 5.2642 percent dividend and will also be eligible to attend and participate in the 16th AGM.
Future Growth and Capital Mobilization
The dividend announcement comes at a time when Super Madi Hydropower is simultaneously planning a significant capital mobilization exercise.
Right Share Proposal: The board of directors has also proposed to issue 50 percent right shares to its shareholders. This right issue will follow the distribution and adjustment of the 5 percent bonus shares.
Capital Hike: After the adjustment of the bonus shares, the company’s paid-up capital will increase to NPR 2.3152 billion. The subsequent 50 percent right issue will then raise an additional NPR 1.1576 billion in equity capital, bringing the total paid-up capital to approximately NPR 3.4728 billion. This substantial increase in capital is likely aimed at funding new projects, repaying existing debt, or strengthening the company’s financial reserves for its 44 MW Super Madi Hydroelectric Project in the Kaski district.
By simultaneously rewarding shareholders and planning a major capital raise, Super Madi Hydropower is positioning itself for sustained growth and increased stability within the competitive energy market.
For More: Super Madi Dividend Distribution
