Prime Commercial Bank Limited (PCBL) have received final approval from Nepal Rastra Bank (NRB) to acquire Kailash Bikas Bank Limited (KBBL) to commence its joint transaction in the name of Prime Commercial Bank Limited.
Publishing a notice, the bank has informed that the joint transaction will begin from Falgun 29, 2076. After acquisition, the head office of the company will be at Kamalpokhari, Kathmandu.
The AGM of PCBL has provided green signal to acquire Kailash Bikas Bank in the share swap ratio of 100:94.
The two banks agreed for merger on Asadh 20, 2076. The Letter of Intent (LoI) was provided by the NRB during the second week of Ashwin. Subsequently, the final Memorandum of Understanding (MoU) was signed by the banks on Poush 3, 2076.
After the merger, the paid up capital of the merged entity will stand at Rs.13.95 Arba with Rs.19 Arba as capital fund. The deposit and loan portfolio will stand at Rs.1.28 Kharba and Rs.1.15 Kharba respectively. The merged entity will operate in the nation through a network of 200 branches.