Joint Transaction of Himalayan Bank After Acquiring Civil Bank Starts From Today; How Much is the Enhanced Paid-up Capital?

After a successful acquisition of Civil Bank Limited (CBL) by Himalayan Bank Limited (HBL), their joint operation started from today, Falgun 12, 2079. The joint operation is carried out under the name "Himalayan Bank Limited".

Both banks signed MoU for acquisition on Ashad 29, 2079. Since Civil Bank is being acquired by Himalayan Bank the Due Diligence Audit has endorsed a share swap ratio of 100: 80.28 for acquisition. For instance, if a shareholder in Civil Bank owned 100 shares, his share in the combined company would be reduced to 80.28 shares.

Following the joint business after the acquisition of CBL, Himalayan Bank paid-up capital is enhanced to Rs. 21.65 Arba, having a deposits of Rs. 274 Arba and Loans and Advances worth Rs. 250 Arba. Likewise, the total bank branches of the entity will be 189.

Since this is amalgamation in the form of acquisition, the members of the subsequent board of directors will all be from Himalayan Bank. So, Mr. Ashoke SJB Rana continues as Chief Executive Officer and Mr. Prachanda Bahadur Shrestha continues as the chairman of the company.

Also, out of the previous 26 commercial banks in Nepal, Prabhu Bank acquired Century Commercial Bank at a swap ratio of 1:1. In the same vein, Nepal Investment Bank and Mega Bank started joint integrated transaction at a Swap Ratio -100:90, Global IME and Bank of Kathmandu also merged at a swap ratio of 1:1 and, Kumari Bank and NCC Bank started joint transaction in the name of 'Kumari Bank Limited'. Now after the Himalayan Bank acquisition of Civil Bank, the total number of A class banks is reduced to 21.