Mega Bank IPO on June 2, offer closes on June 5

Sharesansar, May 27:

The wait is finally over with Mega Bank fixing June 2 as the date for floating 6.99 million units of the bank’s general shares. General public will have four days to purchase the shares as the IPO ends on June 5.

The bank has appointed Citizens Investment Trust, Nabil Investment Banking Limited, NMB Capital Limited and NIBL Capital Markets Limited as issue managers for the IPO. The bank, which was established in July 2010, has 28 branches, 45 branchless banking outlets and 31 ATMs.

The application for the IPO can be filed from 133 collection centers in 40 districts. In order to simplify the process of share purchase, the bank had recently launched a deposit product called "Mega IPO Savings Account." The account requires a minimum balance of Rs 5000 and offers 6 percent yield annually. The price of shares can be paid through the account which will also be used to deposit the dividends that bank shares will generate.

The bank’s net profit jumped to Rs 130 million in the third quarter of the current fiscal year from Rs 71.8 million last year. The bank amassed deposits of Rs 12.84 billion till the third quarter and has dispensed loans to the tune of Rs 11.87 billion.