NRB lets Yeti Development Bank to resume share trading despite the merger deal
Mon, May 26, 2014 12:00 AM on Share Listed,
ShareSansar, May 26:
In what may be dubbed an exception to the rule, the central bank has allowed a BFI, which is in the merger process, to trade its share in Nepal Stock Exchange Limited.
Nepal Rastra Bank has let Yeti Development Bank Limited, which is currently in a merger deal with NDEP Development Bank) to resume its share trading, citing halt in its transaction of the scrip for a very long period of time.
“Yes the trading of our scrip has resumed,” a highly placed official with Yeti told ShareSansar today. “The central bank allowed us to resume the share trading since we have not been able to trade it for a long time due to merger with other BFIs in the past. The trading was also resumed keeping our upcoming AGM in view.”
The trading of any of the companies that have merged to form Yeti Development Bank remain halted since February 2013.
The last traded price of Yeti Finance Limited, the biggest of the three BFIs that merged to form the current company, was last traded at Rs 141 on February 28, 2013.
As Yeti is holding its AGM on June 12, it has already announced book for the same from May 28.
Though Yeti’s shares was to be trading since yesterday, the trading could not take place as the scrip was listed only late into the afternoon just as the market was about to close for the day.
“It will surely be traded today as there are many days left for the book closure for the AGM,” the Yeti official further said.
Yeti had started distributing new share certificates to the shareholders from February 24 following the recent merger of Manakamana Development Bank Limited, Yeti Finance Limited and Valley Finance Limited to form the new BFI.
Manakamana Development Bank Limited, Yeti Finance Limited and Valley Finance Limited had received final merger approval from Nepal Ratra Bank to commence its operation in the name of Yeti Development Bank Limited in mid July last year.
Yeti Development Bank had then reported a net profit of Rs.1.74 crore in the last fiscal year of 2069/70.
