Trading of Rastra Utthan Laghubitta Halted as the Company Proposes Dividend During Business Hours

According to the official notice of Nepal Stock Exchange (NEPSE), the transaction of Rastra Utthan Laghubitta Bittiya Sanstha Limited (RULB) has been stopped as the company declared dividends to be issued to the shareholders without prior approval of NEPSE.

The letter regarding the dividend declaration of the Fiscal year 2078/79 by RULB was received by Nepal Stock Exchange at 11.48 AM during business hours today, Baishakh 19, 2080.

Whereas, Rastra Utthan conducted a meeting to propose dividends to the shareholders on Baishakh 13, 2080 at 6:00 PM.

According to the provision in Regulation 22(1)(d) of the Securities Listing Regulations, 2075, if notices, information and decisions affecting securities prices are created, such notices, information and decisions must be submitted to NEPSE on the same day or the next day before the opening of business.

Since RULB contradicted the rules outlaid by NEPSE, the trading of the securities of the said company has been suspended. Likewise, within 3 (three) working days, the company is required to submit an explanation in this regard.

Rastra Utthan has proposed a 15% dividend worth Rs. 3.9 Crores for the fiscal year 2078/79. This is the company's first dividend after being listed in NEPSE.