City Dev Bank’s 10:3 ratio rights shares application to open from Kartik 5

ShareSansar, September 29:

City Development Bank Ltd is opening its 10:3 ratio rights shares from Kartik 5. According to the notice published by the bank today, it said that the rights issue will be opened for 35 days and closed on Mangsir 9.

Seventh AGM of the Kaski-based City Development Bank held last year had endorsed the rights issue while the capital regulators gave an approval for the issuance on Ashoj 3 this year.

According to the bank, those shareholders who have their names in the register before Ashoj 23 can only apply for the rights shares.

The bank has floated a total of 924,000 units of shares on the face value of Rs 100.

After the adjustment of this issued rights shares, the bank’s total paid-up capital will reach to Rs 40 crore from Rs 30 crore. The bank has an authorized capital of Rs 64 crore.

Interested shareholders can collect the application forms from the bank headquarters in Chipledhunga Pokhara and any of its branches as well as the Nabil Investment Banking Ltd’s office Naxal. Nabil Investment Banking Ltd is the issue manager of the City Development Bank.

The rights shares has received ‘ICRA NP IPO Grade 3’ from the credit rating agency ICRA Nepal.

City Development Bank Limited has earned Rs 9.81 crore net profit in the last fiscal year 2070/71, up from Rs 7.24 crore in the previous fiscal year 2069/70. City’s profit was fuelled by core business as its net interest income rose to Rs 17.99 crore up from Rs 14.53 crore.

City Development Bank Limited had distributed 22.5 percent bonus shares from the net profit it registered in the last fiscal year 2069/70.