Civil Bank AGM endorses 5.7% cash dividend, Merger with Axis Development Bank & Civil Merchant Finance

Civil Bank Limited’s third Annual General Meeting held yesterday took a number of important decisions, including endorsement of 5.7 percent cash dividend to the shareholders from the net profit the young commercial bank posted in the last fiscal year 2069/70.

Besides, the AGM also saw an election of three members to the Board of Directors from the ordinary shareholders. They are Ghanendra Bahadur Shrestha, Mitra Lal Shrestha and Sangam KC.

The AGM held at Nepal Academy hall at Kamaladi also gave full mandate to the BoD to carry forward merger with other BFIs and even explore possibilities of joint venture with foreign banks.

Civil Bank had posted a net profit of Rs.12.12 crore in the last fiscal year 2069/70. Its EPS (annualized) stands at Rs 2.49 and net worth per share at Rs 108.28.

The bank, which is entering into a merger with Axis Development Bank and Civil Merchant Finance Company, is expected to offer much better dividend from the current fiscal year.

Since October Nepal Stock Exchange Limited has suspended the trading of the shares of Civil Bank Limited, Civil Merchant and Axis Development Bank for the merger.

Civil Bank and Civil Merchant Bittiya Sanstha are owned by the Civil Group while Axis Development Bank was formed following the merger of Pashupati Development Bank and Udyam Development Bank.

Civil Bank has a paid-up capital of Rs 2 arba, reserve and surplus of Rs 15.3 crore. It had posted a net profit of Rs 12.12 crore in the last fiscal year. - SSN