Shareholders urge NIBL to go for merger

KATHMANDU, NOV 12: 

The shareholders of Nepal Investment Bank Ltd (NIBL) suggested the management to opt for merger with a viable partner in order to retain its position as market leader in the bank’s Annual General Meeting (AGM) conducted today. 

“The merger with other banks are under consideration as that will be more cost-effective measure for the bank to achieve better performance in the increased competitive environment,” said Prithivi Bahadur Pande, chairman Of NIBL.

The AGM also approved the distribution of distributing 25 per cent cash dividend and 25 per cent bonus share to its shareholders from its profit of Rs 1.17 billion in the last fiscal year. 

After releasing 25 per cent bonus share, NIBL will be the only private commercial bank to have paid up capital of over Rs 3 billion. NIBL also has the largest asset base of any private bank at Rs. 59.10 billion. The bank that completed its 25th years in operation this February is one of the largest private commercial banks in Nepal at present. 

NIBL serves more than 425,000 customers through its 41 branches and 67 ATMs throughout the country. 

The bank was established as a joint venture bank –Nepal Indosuez Bank Ltd in 1986 between Indosuez Bank, Rastriya Banijya Bank, Rastriya Beema Sansthan and public stakeholders. After French banking group –Credit Agricole took over Indosuez Bank Group in 2002 then the French party sold its stake in the bank to a Nepali group who re-branded the bank as Nepal Investment Bank.

The bank has donated Rs 500,000 to Shiva Parbati Briddashram, one of the oldest old age homes in Nepal. NIBL contributed Rs 200,000 to Hospital and Rehabilitation Center for Disabled Children (HRDC). The bank sponsored over Rs 100,000 to Kasthamandap Vidyalaya, in last one year.

Source: THT