Western Development Bank & Namaste Bittiya Sanstha to start joint transaction from Asoj 29 as Western Development Bank

Nepal Rastra Bank had given the final approval for the merger of Western Development Bank Limited (WDBL) and Namaste Bittiya Sasntha Limited (NBSL) on Bhadra 28, 2074. The joint transaction of both companies will start from Ashwin 29, 2074. The merged entity will be named as “Western Development Bank Limited” and will start the integrated business as a regional level development bank. The merged entity will publish combined quarterly report from the upcoming quarter after their joint operation. After the merger, the registered office of the bank will be at Ghorahi-15, Dang, WDBL and NBSL had gone under merger with a share swap ratio of 1:1. WDBL and NBSL has earned net profit of Rs 6.99 crore and Rs 1.36 crore in the fourth quarter of the fiscal year 2073/74. After their merger, the paid up capital will reach Rs 42.93 crore. As per NRB’s directive for all regional level development banks to increase their paid up capital to a minimum of Rs 50 crore by the end of FY 2073/74, the merged bank will need to issue a further capital hike of around Rs 7 crore (around 16%).