Bank of Kathmandu to auction 61.58 lakh units promoter shares at Rs 266 per share

Bank of Kathmandu Limited (BOKL) has published a notice to auction 61,58,067 units promoter shares at  price of Rs 266. As per the notice published by the bank in Nepal Stock Exchange Limited (NEPSE), the bank will be auctioning 61.58 lakh units promoter shares at Rs 266 (Rs 166 premium added to the par value of Rs 100). Earlier the bank had endorsed the agenda to issue Further Public Offering (FPO) for promoter shares but Securities Board of Nepal (SEBON) has discontinued BOKL FPO shares citing that there was no legal provision for issuing further promoter shares through FPO. The bank has submitted necessary documents and description letter for the auction to the concerned authority as assigned by SEBON. After the merger of Bank of Kathmandu and Lumbini Bank, the promoter ownership of the merged bank was reduced to 45.64%. Before this, the bank had proposed a per share price of Rs 310 for its 61,58,067 units FPO for promoters but now the company will be auctioning the shares.