Nepal SBI Bank to issue 40% (1.99 crore units) Right Shares from Jestha 7; Book Closure on Baisakh 26

Nepal SBI Bank Limited (SBI) will be issuing 10:4 (40%) right share to its shareholders from Jestha 7, 2074. As per the notice published by the bank today, the right issue will remain open for 35 days before closing on Ashad 11, 2074. SBI will be issuing a total of 19,919,423.60 units right shares worth Rs 1.99 arba, each to be floated to its existing shareholders at par value of Rs 100 per share. The book closure date for 40% right issue has been set for Baisakh 26, 2073. Only the shares registered one trading day ahead of the book closure date i.e. Baisakh 25, 2074 are eligible for the right shares. NMB Capital Limited has been assigned as the issue manager for right share issue. After the adjustment of the rights shares, the bank’s total paid-up capital will reach Rs 6.97 arba from the existing Rs 4.97 arba. The bank has authorized capital of Rs 10 arba. Its public-promoter share structure stands at 70:30 ratio. Interested shareholders can collect the application forms from NMB Capital, Naxal, Kathmandu, and all branch offices of Nepal SBI Bank. As per NRB’s directive for all commercial banks to increase their paid up capital to a minimum of Rs 8 arba by the end of FY 2073/74, SBI will need to issue a further capital hike of Rs 1.03 arba (15%).