NRB Gives Final Approval to the Acquisition of Century Commercial Bank by Prabhu Bank ; Joint Operation to Begin Soon

Nepal Rastra Bank (NRB) has given final approval for the acquisition of Century Commercial Bank Limited (CCBL) by Prabhu Bank Limited (PRVU).

The letter issued by NRB dated Poush 19 provided final approval to the banks to go for the acquisition process.

Both banks signed MoU for acquisition on Shrawan 15, 2079. Accordingly, the institutions will start a joint transaction by the end of Poush. Since Century Commercial Bank is being acquired by Prabhu Bank the Due Diligence Audit has endorsed a share swap ratio of 100: 100 for the acquisition.

As per the first quarter report of Fiscal Year 2079/80, the paid-up capital of CCBL is Rs. 10 Arba whereas the paid-up capital of PRVU is Rs. 13.53 Arba. Hence, after starting an integrated business, the total paid-up capital of Prabhu Bank Limited will be Rs. 23.53 Arba, surpassing the total paid capital of Himalayan Bank after the acquisition of Civil Bank. 

CCBL and PRVU also declared dividend of 5% and 8% respectively for the Fiscal Year 2078/79.