Kumari Bank to acquire Kasthamandap Dev Bank & 3 other BFIs; trading of Kasthamandap Dev. Bank halted in Nepse from today

Trading of Kasthamandap Development Bank Limited (KDBL) has been suspended from today in Nepal Stock Exchange Limited (NEPSE) for the acquisition process by Kumari Bank Limited (KBL). Kumari Bank and Kasthamandap Development Bank have signed an agreement for the acquisition process. Kasthamandap Development Bank had signed memorandum of understanding (MOU) to acquire Mahakali Bikas Bank Limited, Kakrebihar Bikas Bank Limited and Paschimanchal Finance Limited which has been cancelled as for now. Kumari Bank will acquire these BFIs individually. At present, KDBL has paid up capital of Rs 67.98 crore. The development bank has earned net profit of Rs 30.22 crore in fourth quarter of last fiscal year 2072/73. Likewise, KBL has paid up capital of Rs 2.69 arba. The bank earned net profit of Rs 74.01 crore in fourth quarter of the last fiscal year 2072/73 as per unaudited report. Recently, Kumari Bank had proposes to issue 50% right share to its shareholders. The decision is subjected to approval from the bank’s upcoming Special General Meeting (SGM) and its concerned authorities. After issuance of 50% right share the paid up capital will rise to Rs 4.03 arba. Kumari Bank trading was started on Ashwin 13, 2073 after the cancellation of merger process with NCC Bank Limited, (NCCB) Infrastructure Development Bank Ltd (IDBL), International Development Bank Ltd (INDBL), Apex Development Bank Ltd (APEX) and Supreme Development Bank Ltd (SUPRME).