Mega Bank to publish book closure notice for 25% Right shares by month of Ashad; Global IME Capital appointed as issue manager

Mega Bank Nepal Limited (MEGA) has already received comments from Securities Board of Nepal (SEBON) regarding the issuance of 25 percent right shares. An official of Mega Bank said,  “The book closure notice for right shares will be published within month of Ashad.” Global IME Capital Limited has been appointed as the issue manager for the right share issue. 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. The bank has 44 branches, 53 Branchless Banking outlets, 45 Mega ATM Counters, 1400 Mega Remittance Centers and one extension counter. There is possibility of Mega Bank acquiring Hama Merchant Finance Limited in days to come. The Special General Meeting (SGM) of Hama Merchant and Finance Limited which is going to be held on Ashad 1, 2073 will be endorsing 1:1 right shares. As per the source privy to the information, The Bank will be signing the deal to acquire the finance company after the issuance of right shares of both the institutions. The paid up capital of the Mega Bank is only Rs 3.24 arba after its merger with Paschimanchal Bikas Bank. The non performing loan of the bank is currently at 1.25% which is considerably lower. Bank has earned a net profit of 32.2 crores till the third quarter. As per the bank sources Mega bank will be issuing right and bonus shares in the upcoming year almost in the same ratio as well. Mega Bank had signed a memorandum of understanding with Paschimanchal Bikas Bank for merger on 28 Januray, 2015 and the joint operation of the merged entity  started on April 25, 2016 as Mega Bank Nepal Limited. Mega Bank resumed its trading in Nepal Stock Exchange Limited from May 29, 2016.