Mega Bank gets final approval to issue 25% Right shares; book closure on Shrawan 10

Securities Board of Nepal (SEBON) has given final approval to issue 4:1 (25%) 81,01,438 Right share of Mega Bank Nepal Limited (MEGA). The bank has set the book closure date for 25% right issue on Shrawan 10, 2073. Only the shares registered one day ahead of the book closure date i.e. Shrawan 9 2073 will be eligible for the right shares Mega Bank 5^th AGM held on Poush 26, 2072 had approved 4: 1 (25%) right share issue to its shareholders. After the right issue the bank’s paid up capital will reach at Rs 4.05 arba. Mega Bank had a net profit of Rs 34.56 crore in the fourth quarter of the fiscal year 2071/72. As per the source, the bank shall publish Rs 55 to Rs 60 crore net profit from 2072/73 fiscal year unaudited financial report. The bank shall provide handsome 15%-18% bonus share from the net profit earned in the last fiscal year, mentioned the source. The bank does not want to lose its identity by merging with big financial institutions. The bank is holding merger/acquisition talk with small financial institutions. To meet the paid up capital requirement the bank plans to issue 50%-70% right shares in the ongoing fiscal year. As promoter shares of Mega Bank has been converted into ordinary shares so the promoters of the bank  can now pump in money for the right shares. Global IME Capital Limited has been assigned as the issue manager for this right share issue. The bank has 44 branches, 53 Branchless Banking outlets, 45 Mega ATM Counters, 1400 Mega Remittance Centers and one extension counter.