New blockade in the merger of Everest and Laxmi; The big merger turning out to be questionable

The twist and turns in the merger of Everest Bank and Laxmi Bank does not seem to be ending quite soon. Recently it was heard that the swap ratio of Everest Bank and Laxmi Bank was determined as Rs 100 and Rs 60 respectively by the Ernst and Young Audit firm.

The authorities from Everest Bank had projected that the swap ratio would be about Rs 30 or Rs 35 for Laxmi Bank. But, the DDA done by the audit firm has calculated the price to be about double of the projected amount.

However, if the information are to be considered, Everest Bank wants the financial report of the previous year to be taken into consideration for the determination of swap ratio. Rastra Bank has also decided to discuss about the matter with Everest Bank.

The track record of Everest bank in case of merger is not good as the banks had similar talks about merger with Kumari Bank and former Kist Bank. It has to be seen where the process of merger with Laxmi Bank reaches.