Synergy Power Annual General Meeting to be Held Today
22nd January 2026, Kathmandu
Synergy Power Development Company Limited is holding its 19th Annual General Meeting (AGM) today, Magh 8, 2082 (January 22, 2026). The meeting, which was previously postponed due to a lack of quorum and procedural disputes on Poush 28, is being conducted at the Amrapali Banquet located in Bhatbhateni, Kathmandu. The assembly is scheduled to begin at 11:00 am and is expected to address critical corporate governance and financial matters that will shape the company’s path for the 2082/83 fiscal year.
Synergy Power AGM
A primary highlight of the Synergy Power Annual General Meeting is the formal approval of the dividend distribution proposed for the fiscal year 2081/82. The Board of Directors has recommended a total dividend of 10.5263 percent based on the current paid-up capital of 1.33 billion rupees.
Understanding the 10.5263 Percent Dividend Structure
The proposed dividend is divided into two distinct components to balance shareholder rewards with the capital needs of the company.
Bonus Shares (10 Percent): The company will issue 10 percent bonus shares, amounting to approximately 13.30 million rupees. This capitalization of profits will increase the paid-up capital, providing the company with more internal resources for future hydropower projects.
Cash Dividend (0.5263 Percent): A small cash portion has been allocated specifically to cover the tax obligations arising from the issuance of the bonus shares. This ensures that shareholders do not have to pay out-of-pocket taxes on their new stock.
Election of the Board of Directors and Inclusivity
A major agenda of the 19th AGM is the election of four directors to the Board of Directors. In a move toward better gender representation and compliance with modern corporate standards, the election specifically includes one seat for a female director.
The previous attempt to hold this election on January 12 was marred by disputes regarding proxy submissions and the validity of candidates. Today’s meeting aims to resolve these issues under the oversight of a court-appointed or company-designated election officer. Strengthening the board is vital for Synergy Power, as several positions have remained vacant, affecting the strategic oversight of its 10 MW Siprin Khola Hydroelectric Project and other upcoming ventures.
Endorsing Financial Reports and Governance Reforms
During the meeting, shareholders will review and endorse the annual report and audited financial statements for the fiscal year 2081/82. This process is a cornerstone of transparency, allowing investors to analyze the revenue growth, operating costs, and net profit of the company.
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Key financial highlights for the review period include:
Net Profit: Shareholders will evaluate the profit margins that made the 10 percent bonus share issuance possible.
Operating Efficiency: Analysis of the power generation metrics from the Dolakha-based project.
Auditor Appointment: The meeting will approve the appointment of an external auditor for the current fiscal year 2082/83 and determine their remuneration.
Amendments to the Articles of Association
The 19th AGM also features a special proposal to amend the Memorandum of Association and Articles of Association (MOA/AOA) of the company. This proposal grants the Board of Directors the authority to implement necessary changes as directed by regulatory bodies like the Securities Board of Nepal (SEBON) or the Office of the Company Registrar. These amendments are often necessary to align the company with new laws, such as the updated Hydropower Development Policy or changes in the Companies Act.
Impact on Shareholder Value
Synergy Power Development Company Limited (SPDL) remains a watched stock on the Nepal Stock Exchange (NEPSE). The decision to capitalize profits through bonus shares rather than a full cash payout signals that the management is focused on long-term expansion and asset building. For the 1.25 million shares currently outstanding, this move is expected to improve the liquidity of the stock in the secondary market.
The book closure for this AGM and dividend was set for Poush 14, 2082. Consequently, only those shareholders who held the stock prior to that date are eligible to participate in today’s voting and receive the approved dividend.
Conclusion
The 19th Annual General Meeting of Synergy Power is a decisive event for the governance and financial stability of the company. By approving the 10.5263 percent dividend and electing a fresh board, the company aims to move past recent administrative hurdles and focus on its core mission of energy production. As Nepal continues to prioritize clean energy, the resolutions passed at the Amrapali Banquet today will be instrumental in defining the role of the company in the national grid.
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