Global IME Bank share trading likely to resume by Baisakh first week

ShareSansar, March 23:

The shares of Global IME Bank Limited, which has entered into a merger with Commerz and Trust Bank Nepal Limited, is likely to be listed for trading in the first week of Baisakh, according to bank officials.

“After our AGM formally endorsed the merger, we have written to the central bank for the final approval last week,” Global IME’s company secretary Bishnu Baskota told ShareSansar today, adding that the bank plans to start integrated business by Chaitra 15 to 20, and resume the share trading in two weeks from the day the integrated trading begins.

Though the ball was in the central bank’s court, he was quick to add that the bank was optimistic about proceeding as per the plan since the NRB is very positive about the deal.

If things go as per the plan – and there isn’t much space to doubt it won’t – Global IME’s shares will debut at Rs 430 as per the last traded price on November 10, and will most probably close at Rs 473 on the same day.

“The scrip will continue to rise steadily in the next few days and will be priced more than the share of NIC Asia,” said Narendra Sijapati, president of the Brokers’ Association.

Given the current situation, Global IME’s shares will hover around Rs 750 within a few days once it gets listed.

It may also be noted that the shareholders are further encouraged by the first and the second quarterly reports for the current fiscal year.

A special Annual General Meeting of Global IME Bank held on March 5 in Birgunj had endorsed the merger by ratifying Due Diligence Report and the swap ratio for the merger.

In December, Nepal Rastra Bank had formally endorsed the plan of Global IME Bank and Commerz and Trust Bank to merge.
 
The two commercial banks have seal a deal for the merger on November 10 at a swap ration of 100:65.

This is the second merger between the commercial banks in the country. The first commercial banks to merge were NIC and Bank of Asia.