ADBL Calls AGM to Approve Dividend Proposal, Book Closure Announced
22nd November 2025, Kathmandu
Agricultural Development Bank Limited (ADBL) has formally announced the convening of its 19th Annual General Meeting (AGM), which will be held to endorse the dividend proposal derived from the profits of the previous fiscal year.
ADBL Calls AGM
The meeting is scheduled for December 15, 2025 (Mangsir 29, 2082), and will take place at the bank’s Central Training Institute in Bode, Bhaktapur, starting at 11 AM.
Dividend Proposal and Capital Distribution
The main agenda item for the AGM, and the most critical for investors, is the distribution of dividends to both ordinary shareholders and holders of non-convertible preference shares.
Total Dividend for Ordinary Shareholders: The board has tabled a proposal to distribute a total dividend of 13 percent to its ordinary shareholders.
Composition of Dividend: This 13 percent dividend is structured primarily as cash:
Cash Dividend: A substantial 9.75 percent cash dividend will be distributed, and this amount is inclusive of the tax liabilities associated with the entire distribution.
Bonus Shares: The remaining portion, 3.25 percent, will be distributed as bonus shares. This bonus share issuance will lead to an increase in the bank’s paid-up capital.
Non-Convertible Preference Shares: In line with established regulations and the terms of issuance, a 6 percent cash dividend will be specifically distributed to the holders of the bank’s non-convertible preference shares.
The approval of this dividend proposal by the AGM and the subsequent ratification by Nepal Rastra Bank (NRB) is necessary before the dividend can be disbursed to eligible shareholders.
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Core Governance and Operational Agendas
In addition to the dividend proposal, the 19th AGM will address mandatory corporate governance and operational matters essential for the bank’s continued functioning and regulatory compliance.
Financial Report Approval: The meeting will approve the previous fiscal year’s financial reports, which include the annual report, the balance sheet, the profit and loss statement, and the cash flow statement. This process provides transparency regarding the bank’s operational performance and financial health.
Auditor Appointment: Shareholders will discuss and approve the proposal for the appointment of auditors for the current fiscal year and determine their remuneration. This ensures independent oversight of the bank’s financial records.
Articles and Memorandum Amendments: The AGM will authorize necessary amendments to the bank’s Memorandum of Association (MoA) and Articles of Association (AoA). These amendments are often required to reflect the changes in the bank’s capital structure resulting from the proposed bonus share issuance and to align the documents with any new regulatory directives issued by the NRB.
Book Closure Details for Eligibility
To facilitate the dividend distribution and determine the eligible attendees for the AGM, the bank has announced a specific book closure period.
Book Closure Date: ADBL will observe a one-day book closure on Mangsir 14, 2082.
Eligibility Cut-off: Shareholders whose names are recorded in the Nepal Stock Exchange (NEPSE) records by the end of trading on Mangsir 11, 2082, will be eligible. This means investors must secure their shares by the end of trading on Mangsir 11 to be entitled to both:
- Attend and participate in the 19th AGM.
- Receive the declared 13 percent dividend (3.25 percent bonus and 9.75 percent cash).
This AGM is a crucial event that will set the strategic financial direction for the current fiscal year, reinforcing ADBL’s commitment to its shareholders and its critical role in Nepal’s development banking sector.
For More: ADBL Calls AGM
