Sahas Urja Dividend Announcement for FY 2024/25 Bonus Shares and Growth

11th November 2025, Kathmandu

Sahas Urja Limited, a key player and a consistently performing entity within Nepal’s vital hydropower sector, has recently made a significant disclosure that is certain to please its investor base.

Sahas Urja Dividend Announcement

The company’s board of directors has officially proposed a substantial dividend distribution for its shareholders for the fiscal year 2024/25. This proposal involves a strategic combination of 21 percent bonus shares and a 1.1053 percent cash dividend, calculated on the company’s current paid up capital. This generous action serves as a strong affirmation of the company’s robust financial health and its unwavering dedication to rewarding investors for their sustained confidence and financial support. The core message of the latest disclosure is the notable Sahas Urja dividend announcement, which positions the company as a growth leader in the national energy market.

The proposed dividend package is a clear reflection of Sahas Urja’s excellent operational performance and its effective management of resources throughout the fiscal year. To fully materialize and be distributed to shareholders, this recommendation is now subject to the final approval of the company’s upcoming Annual General Meeting (AGM). This legal step ensures full transparency and compliance with all prevailing regulatory guidelines and market practices in Nepal. This two part reward system is designed to provide dual benefits to the shareholder community.

Detailed Breakdown of the Proposed Dividend Package

The structure of the dividend proposed by Sahas Urja Limited is a strategic mix, aimed at balancing immediate returns with long term capital appreciation for its shareholders. The company has officially detailed the following components of the distribution:

First, a generous 21 percent bonus share or stock dividend will be issued, sourced directly from the company’s accumulated profits and reserves. This component is highly beneficial for shareholders as it automatically increases their total number of shares, thereby enhancing the long term value and potential returns of their investment. By distributing profits in the form of bonus shares, the company is also able to retain valuable cash within its operations, which can be reinvested in its ongoing projects or future expansion initiatives.

Second, a complementary 1.1053 percent cash dividend has been proposed. The primary function of this smaller cash component is typically to cover the applicable taxes related to the bonus share distribution and to provide a modest, yet immediate, direct return to the shareholders. This combined dividend package clearly demonstrates Sahas Urja’s holistic approach to financial management, successfully balancing the crucial needs of capital growth and providing necessary liquidity to its loyal investors.

Regulatory Compliance and Shareholder Entitlement

As is the standard and required procedure within Nepal’s capital market, the dividend proposal must receive an endorsement at the Annual General Meeting. This formal approval is a key step that confirms the company’s adherence to regulatory frameworks such as the Companies Act 2063 and the guidelines set forth by the Securities Board of Nepal (SEBON). Once formally approved by the shareholders at the AGM, the bonus shares and the cash dividend will be electronically credited to the respective demat accounts of the shareholders.

Advertisement

The company will soon announce a definitive book closure date through the Nepal Stock Exchange (NEPSE). Shareholders whose names are recorded in the company’s register as of that specific book closure date will be deemed eligible to receive both the proposed dividend and to participate in the upcoming Annual General Meeting. This structured process ensures fairness and regulatory compliance in the distribution of corporate benefits.

Strategic Position in Nepal’s Energy Landscape

Sahas Urja Limited operates at the forefront of Nepal’s burgeoning energy sector, actively contributing to the nation’s overarching goal of achieving sustainable and scalable hydropower generation. The company is particularly renowned for its involvement in the development and operation of significant large scale hydropower projects. A prime example is the Upper Solu Khola Dudhkoshi Hydropower Project, which stands as one of Nepal’s most notable private sector power initiatives, showcasing the company’s execution capability and commitment to national development.

Given Nepal’s strategic focus on rapidly expanding its domestic electricity generation capacity and increasing exports of clean energy to neighboring regional markets, Sahas Urja’s projects hold immense strategic importance. They are crucial for ensuring long term national energy security and driving significant economic growth. The consistent financial performance, evidenced by the recurrent Sahas Urja dividend announcement, highlights the commercial viability and operational efficiency of its assets.

The Future of Expansion: The Right Share Proposal

In a distinct yet complementary announcement to the dividend distribution, Sahas Urja has also put forth a proposal to issue 100 percent right shares, or a rights issue, relative to its current paid up capital. This bold financial maneuver is strategically aimed at substantially strengthening the company’s existing capital base. The funds raised from this rights issue are intended to finance future crucial hydropower expansion projects and further enhance the long term sustainability and resilience of its current operations.

A rights issue offers a preferential opportunity to existing shareholders, allowing them to purchase additional shares at a price that is typically discounted below the current market rate. This mechanism is highly attractive to investors as it permits them to maintain their proportional ownership stake in the company while enabling the company to efficiently raise substantial funds without having to incur the heavy interest costs associated with traditional bank borrowings.

A Promising Investment Outlook

The dual announcements of a strong dividend declaration and a subsequent right share proposal collectively communicate Sahas Urja’s profound confidence in its financial stability, the robustness of its current operations, and its projected future growth potential. For investors, the strategic combination of receiving bonus shares, a cash dividend, and the opportunity to participate in a rights issue presents a particularly compelling case for long term investment in Nepal’s highly promising energy sector. The company’s consistent focus on prudent financial management, coupled with its active role in a growing industry characterized by increasing domestic and regional demand for clean energy, solidifies its position as a reliable, growth oriented investment on the Nepal Stock Exchange. Sahas Urja is actively shaping the future of energy in Nepal, and its commitment to rewarding shareholders is a key component of this journey.

For More: Sahas Urja Dividend Announcement