Deprosc Laghubitta to Hold AGM on Poush 28

22nd December 2025, Kathmandu

Deprosc Laghubitta Bittiya Sanstha Limited has officially announced its twenty fourth Annual General Meeting which is scheduled to take place on Poush 28 2082. The board of directors of the institution reached this decision during a recent meeting held on Sunday. The assembly is set to be hosted at Hotel Seven Star Limited in Sauraha Chitwan beginning at 10 in the morning.

Deprosc Laghubitta AGM Announced

This annual event is a significant milestone for the microfinance institution as it provides a platform to share its financial successes from the fiscal year 2081/82 and seek shareholder approval for its future strategic direction. As a national level microfinance institution Deprosc continues to play a vital role in rural financial inclusion and entrepreneurship development across Nepal.

DIVIDEND PROPOSAL AND CAPITAL RESTRUCTURING

The primary highlight of the twenty fourth Annual General Meeting agenda is the approval of a total fifteen percent dividend for the fiscal year 2081 2082. This dividend is based on the existing paid up capital of the company and is structured to provide both immediate liquidity and long term share value to the investors.

Bonus Shares: The board has proposed a ten percent bonus share issuance. By distributing bonus shares the company effectively increases its paid up capital allowing it to retain more internal funds for its expansion activities. For the shareholders this means receiving one new share for every ten shares they currently hold.

Cash Dividend: A five percent cash dividend has also been proposed which includes the amount required for dividend tax. This component ensures that shareholders receive a direct cash return on their investment while the bank handles the tax obligations on behalf of the participants.

As the issuance of bonus shares will lead to an increase in the issued and paid up capital of the institution the assembly will also pass a specific proposal to amend the Memorandum of Association and the Articles of Association. Furthermore the shareholders will grant a general authorization to the board of directors to make any additional amendments as suggested or directed by regulatory authorities such as Nepal Rastra Bank.

STRATEGIC GROWTH AND MERGER AUTHORIZATION

In line with the current consolidation trends in the Nepalese financial sector the twenty fourth Annual General Meeting will discuss and grant full authority to the board of directors to proceed with necessary processes for a potential merger or acquisition. This mandate allows the management to explore opportunities for joining forces with other suitable microfinance institutions to create a larger and more resilient entity. Such a move is expected to enhance the competitive positioning of Deprosc Laghubitta and provide it with a larger branch network and a more diverse client base.

The meeting will also be a time for electing the leadership that will guide the institution through its next phase of growth. The agenda includes the election of one director from the promoter group and three directors from the general public group. This democratic process ensures that the interests of both the founding institutional promoters and the retail investors are fairly represented in the decision making processes of the company.

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FINANCIAL ACCOUNTABILITY AND AUDIT REPORTS

The twenty fourth Annual General Meeting serves as the official platform for the presentation and endorsement of the financial statements for the previous fiscal year. Shareholders will be asked to review and approve the annual report and the auditor report which provide a transparent view of the financial performance of the institution. These reports include details on the net interest income the loan portfolio quality and the management expenses of the microfinance bank.

The institution reported a net profit of over 691 million rupees for the fiscal year 2081 2082. While the company faced some challenges with non performing loans it has shown a remarkable recovery in the current fiscal year with a net profit surge of nearly 197 percent in the first quarter. Additionally the assembly will pass proposals related to the appointment of a statutory auditor for the current fiscal year 2082 2083 and determine the remuneration for the auditing firm. This regular cycle of auditing is fundamental to maintaining investor trust and ensuring compliance with the standards set by the central bank.

BOOK CLOSURE AND SHAREHOLDER ELIGIBILITY

To facilitate the distribution of the ten percent bonus shares and the five percent cash dividend accurately the institution has announced a book closure period. The share register will be closed on Poush 16 2082. This means that only those shareholders who are officially recorded in the records of the institution up to Poush 15 2082 will be eligible to participate in the voting at the Annual General Meeting and receive the proposed dividend.

Investors who wish to benefit from this 15 percent payout must ensure that their shares are settled and credited to their Demat accounts before the book closure date. Following the approval at the AGM the bonus shares will be credited to the respective Demat accounts while the cash dividend will be sent directly to the bank accounts linked with the Mero Share portal. This efficient system ensures that the benefits reach the eligible participants in a timely and secure manner.

MARKET POSITION AND CORPORATE GOVERNANCE

Deprosc Laghubitta Bittiya Sanstha Limited remains one of the largest and most influential players in the microfinance sector of Nepal. Registered in 2057 Poush 28 and backed by prominent promoters like Nabil Bank Nepal Bank and Lumbini Development Bank the institution has a long history of professional management. Its nationwide presence and focus on underprivileged communities have made it a preferred choice for social impact investors.

The annualized earnings per share of the company recently climbed to over Rs 43 and its net worth per share stands at approximately Rs 221 indicating a strong underlying value for the shareholders. The upcoming meeting in Sauraha is expected to be a well attended event as investors look for more insights into the strategic roadmap of the bank for the year 2082 and beyond.

CONCLUSION AND FINAL THOUGHTS FOR INVESTORS

In conclusion the convening of the twenty fourth Annual General Meeting on Poush 28 is a landmark event for everyone associated with Deprosc Laghubitta. From the approval of a significant 15 percent dividend to the election of new directors and the mandate for potential mergers the meeting will set a clear path for the future of the institution. Shareholders are encouraged to attend the meeting at Hotel Seven Star to engage with the leadership and gain a deeper understanding of the vision of the company.

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