Muktinath Bikas Bank Signs MoUs to Acquire Sindhu Bikas Bank and Janaki Finance

Muktinath Bikas Bank Limited (MNBBL) has signed preliminary agreements to acquire two financial institutions, Sindhu Bikas Bank Limited (SINDU) and Janaki Finance Company Limited (JFL).

The agreements were signed in accordance with the decision of the bank’s 385th Board of Directors meeting held at 11:00 a.m. on Bhadra 19, 2083.

Muktinath Bikas Bank has entered into a preliminary agreement to acquire Sindhu Bikas Bank Limited.

The agreement marks a significant step toward expanding Muktinath Bikas Bank’s presence and strengthening its financial and operational capacity through the acquisition of another development bank.

Alongside the agreement with Sindhu Bikas Bank, Muktinath Bikas Bank has also signed a preliminary agreement to acquire Janaki Finance Company Limited.

The proposed acquisition will bring a finance company under the Muktinath Bikas Bank umbrella, further broadening its institutional and business reach.

The acquisitions remain subject to the applicable regulatory and corporate approval processes.

Muktinath Bikas Bank has a paid-up capital of Rs. 8 Arba, while Sindhu Bikas Bank and Janaki Finance have paid-up capitals of Rs. 55.74 crore and Rs. 69.04 crore, respectively.

As of Bhadra 18, 2083, the LTPs of the three companies stood at Rs. 356.90 for Muktinath Bikas Bank (MNBBL), Rs. 585.50 for Sindhu Bikas Bank (SINDU), and Rs. 368.90 for Janaki Finance Company (JFL).

Following the acquisition agreement, official notices were issued by the financial institutions requesting a suspension on the trading of shares held by their basic shareholders (promoters). This action was taken in line with the direct guidelines for mergers and acquisitions issued by the Securities Board of Nepal.

Under these regulatory directives, buying, selling, or transferring shares of promoters shareholders is strictly prohibited until the acquisition process is complete and clearance is granted by the relevant regulatory authorities.