CARE Rating Agency soon embarking in Nepal

Securities Board of Nepal (SEBON) and Credit Analysis and Research Limited (CARE Ratings) based on Investment of India has signed an agreement to establish a credit rating agency in Nepal to be called CARE Ratings (Nepal) Ltd. With this, there will be two rating agencies in Nepal. Care Ratings is the second largest full service rating company in India. Vishal Group and Emerging Nepal had signed tri-party agreement on Bhadra 15, 2073 to establish a new rating agency in Nepal. After the approval from Board the company will further the establishment of the company. Vishal Group Limited is a public limited company indulged in financial services, while Emerging Nepal Ltd is a public limited company engaged in venture capital activities. CARE Ratings India will hold 51% of the equity worth Rs 2 crore, Vishal Group will have 19% stake and Emerging Nepal Ltd will have 10% stake. Banks, insurance companies, financial institutions and corporate bodies in Nepal will have the remaining 20% stake in the rating agency which is subjected to a maximum of 9% per legal entity.