Janata Bank’s 7th AGM on Falgun 1; to endorse 12% bonus share and merger with Triveni Bikas Bank; to also endorse agenda to act as stock broker

Janata Bank Nepal Limited (JBNL) will be convening its 7^th AGM on Falgun 1, 2073 (February 12, 2017) at Tribhuvan Army Officers Club, Bhadrakali, Kathmandu. The main agendas of the meeting are:

• To endorse 12% bonus share and cash dividend of Rs 1,30,10,526 (for tax purpose) from the net profit it earned in the FY 2072/73.
• To give final approval for the merger with Triveni Bikas Bank Limited in the swap ratio 1:1, as recommended by Due Diligence Audit report
• To endorse the compensation of the DDA auditor, and endorse the following merger-related agendas:
  • To endorse the decisions made by the BODs and the merger committee
  • Name of the merged entity to be “Janata Bank Nepal Limited” with its head office in Kathmandu, ward no. 11
  • To endorse 60% right after merger

• To amend Article of Association and Memorandum of Association as per the directions of Nepal Rastra Bank, Securities Board of Nepal, Nepal Stock Exchange, CDS and Clearing Limited.
• To endorse Rs 52,000/- expense made as part of its Corporate Social Responsibility program
• To endorse the addition of following points in its Memorandum of Association:
  • To provide services as a depository participant (DP) under the regulations of SEBON
  • To collect IPO/FPO applications under the ASBA process
  • To provide services as a stock broker after the approval of regulatory authorities
  • To provide remittance services in and outside Nepal

Other agendas of the meeting include financial highlights of 2072/73 and appointment of the auditor for the year 2073/74. Its trading has been in halt in NEPSE following the merger process with Triveni Bikas Bank. As per the AGM notice, only those shareholders owning shares till Magh 8, 2073 were entitled to the dividend of the company and be eligible for the AGM. The register of their shareholders will remain close from Magh 9 to Falgun 1, 2073 for the purpose of its upcoming (AGM). Janata Bank's paid up capital after 50% right and 12% bonus will reach Rs 3.33 arba. After merger with Triveni at a share swap of 1:1 and a further 60% right, the paid up capital will be Rs 7.55 arba. It will need to hike its capital by a further 5.86% to reach NRB's requirement of Rs 8 arba by the end of FY 2073/74.