Trading of Securities For CYC Laghubitta (CYCL) Released from Sunday

Nepal Stock Exchange (NEPSE) has issued a circular stating that the trading of securities for the CYC Laghubitta Bittiya Sanstha Limited (CYCL) has opened to the general public, except for basic shareholders under Section 13 (1) of the Merger and Acquisition Guideline, 2079.

CYC Laghubitta Bittiya Sanstha Limited (CYCL) and Adhikhola Laghubitta Bittiya Sanstha Limited (AKBSL) signed a merger agreement with each other on Ashad 22, 2079. The secondary market trading of securities for CYC Laghubitta had been halted from 23rd Ashad.

Securities Board (SEBON), enforcing a directive on listed companies engaging in mergers and acquisitions passed a requirement that share transactions shall be halted for a maximum of 15 working days after the combined entity commences a joint business transaction. The board has granted the post-unification period of time due to the procedures of re-registration, reconciliation, dematerialization, and listing of the shares.

The company currently has to halt share transactions once the unification process has begun. In order to prevent any out-of-the-ordinary clearing and settlement of share trading for listed companies that were engaged in merger or acquisition activity, SEBON maintained the rule.