List of BFIs that underwent merger &acquisition process in FY 2071/72 & 2072/73

Nepal Rastra Bank had formulated Monetary Policy on Shrawan 7, 2072. The process has led to high increment of merger among bank and financial institutions (BFIs) due to mandatory obligation for BFI’s to increase capital base within FY 2074/75. At present, 46 BFIs have applied for the merger process. However, the share swap ratio dispute between Machhapuchchhre Bank and Janata Bank has decreased the number to 44. In FY 2071/72, 20 BFIs had applied to go in the merger process. As per NRB, 18 BFIs have got Letter of Intent (LOI) and 2 BFIs have got LOI for acquisition process. In the FY 2072/73, 26 BFIs have got LOI for the merger process whereas 12 BFIs have applied for LOI. Altogether 8 BFIs have applied at NRB for acquisition. With the merger process, the investment capacity of the merged entities is also increasing due to increase capital-base.   BFIs which applied for merger from Shrawan, 2072 till date

SN	BFIs applying for merger	BFIs after merger and to be merged	Date of LOI received
1	Prabhu Bank, Grand Bank	Prabhu Bank	Ashoj 12, 2072
2	City Development Bank, Om Finance	Om Development Bank	Kartik 24, 2072
3	Gurkha Development Bank, Kathmandu Finance	Gurkhas Finance	Ashoj 20, 2072
4	Kamana Development Bank, Kaski Finance	Kaski Development Bank	Kartik 24, 2072
5	Siddhartha Development Bank , Ekata Bikas Bank, Nepal Awas Finance	Siddhartha Development Bank	Poush 7, 2072
6	Kailash Bikas Bank, Metro Development Bank, Nepal Express Finance	Kailash Bikash Bank	Magh 11, 2072
7	NCC Bank, Infrastructure Development Bank, Apex Development Bank, Supreme Development Bank, International Development Bank, Kumari Bank	NCC Bank	Chaitra 3, 2072
8	Shree Investment and Finance, Everest Finance	Shree Finance	Chitra 3, 2072
9	Siddhartha Bank, Business Universal	Siddhartha Bank	Chaitra 3, 2072
10	Jyoti Bikas Bank, Hamro Bikas Bank, Jhimruk Bikas Bank	Jyoti Bikas Bank	Mangsir 11,2072
11	Vibor Bikas Bank ad Society Development Bank	Vibor Society Development Bank	Poush 8, 2072
12	Bank of Kathmandu, Lumbini Bank	Bank of Kathmandu , Lumbini	Poush 9, 2072
13	Civil Bank, International Leasing and Finance	Civil bank	Magh 11, 2072
14	Malika Bikas Bank, Mahalaxmi Finance, Siddhartha Finance	Mahalaxmi Bikas Bank	Chaitra 1, 2072
	Total number=38

  BFIs which applied for acquisition from Shrawan, 2072 till date

Acquiring Bank	Target Bank	BFI after acquisition	Date of LOI received
Citizens bank International Limited	Premier Finance	Citizens Bank International	Ashoj 19, 2072
Toursim Development Bank	Matribhumi Bikas Bank	Tourism Development Bank	Mangsir 21, 2072
Sunrise Bank	Narayani National Finance	Sunrise Bank	Falgun 18,2072
Progressive Finance	World merchant Banking and Finance	Progressive Finance	Chaitra 21, 2072
	Total number = 8

  BFIs which applied for merger from Shrawan, 2071 till 2072

SN	BFIs who applied for merger process	Entity formed after merger	Date of LOI received
1	Triveni Bikas Bank, Public Development Bank, Bright Development Bank	Triveni Bikas bank	Bhadra 14, 2071
2	NDEP Development Bank, Rising Development Bank	NDEP Development Bank	Ashoj 14, 2071
3	Bishwo Bikas bank, Fewa Finance	Fewa Bikas Bank	Magh 22, 2071
4	Garima Bikas Bank, Nilgiri Bikas Bank	Garima Bikas Bank	Jestha 20, 2071
5	Sagarmatha merchant and Finance, Patan Finance	Sagarmatha Finance	Magh 8, 2071
6	NMB Bank, Pathivara Bikas Bank, Bhrikuti Bikas Bank, Clean energy Development Bank, Prudential Finance	NMB Bank	Magh 22, 2071
7	Mega Bank, Paschimanchal Development Bank	Mega Bank	Chaitra 12, 2071
	Total number= 18

  BFIs which applied for acquisition from Shrawan, 2071 till Shrawan, 2072

Acquiring Bank	Target Bank	BFIs after acquistion	Date of LOI received
Muktinath Bikas Bank	Civic Development Bank	Muktinath Bikas Bank	Jestha 20, 2072
	Total number =2

  Source: Kinmel.setopati.com