Vibor Society Dev Bank and Lumbini Finance to merge; trading halt in NEPSE

Vibor Society Development Bank Limited (VSDBL) and Lumbini Finance and Leasing Company Limited (LFLC) have signed an agreement for merger yesterday (Magh 24, 2073). As a result, their trading has been suspended in Nepal Stock Exchange from today. As per the agreement signed, the name of the merged entity will be “Lumbini Bikas Bank Limited”, and will operate as a class “B” national level development bank. The swap ratio will be finalized after a Due Diligence Audit report has been compiled. After the merger, the paid up capital of the development bank will reach over Rs 2.37 arba. In 2012, Vibor Bikas Bank had merged with Bhajuratna Finance to form Vibor Bikas Bank. Again in 2016, Vibor Bikas Bank and Society Development Bank had merged to form Vibor Society Development Bank Limited.