Final Merger Agreement Between Global IME Bank & Bank of Kathmandu Completed; Integrated Transaction to Start from Poush 25
Thu, Jan 5, 2023 11:24 AM on Merger/Acquistion, Featured,
Final approval in relation to the merger of Global IME Bank Limited (GBIME) and Bank of Kathmandu Limited (BOKL) has been completed. The company had signed a merger deal at a swap ratio of 1:1.
"Global IME Bank Limited" has been agreed upon as the name of the new bank that will be formed as a result of the merger. The banks signed the Memorandum of Understanding (MoU) on 2nd Ashad, 2079.
Likewise, in accordance with the letter from Nepal Rastra Bank and the Office of the Registrar of Companies, the merger has also gained final permission.
Additionally, Global IME Bank and Bank of Kathmandu will halt all banking services from Poush 22 to Poush 24 in order to migrate data in preparation for the start of the joint business of the two institutions on Poush 25.
According to the first-quarter report (Q1) of F.Y. 79/80, the share capital of GBIME is Rs. 24.50 Arba, whereas that of BOKL is Rs. 11.26 Arba. Following their merger, the paid-up capital of the merged bank will be Rs. 35.76 Arba. With this merger, the bank will have the largest paid-up capital in Nepal.
Likewise, GBIME proposed a 10.6% cash dividend and a 3% bonus shares whereas BOKL approved a 14.95% cash dividend of Rs. 1.58 Arba and 6% bonus shares worth Rs. 63.74 Crores for Fiscal Year 2078/79.
