5 finance institutions ready for merger

The merger of five financial institutions, which have been permitted by the Nepal Rastra Bank, has reached final stage.

Himchuli Development Bank of Pokhara, Mahalaxmi Finance of Birgunj, Butwal Finance of Butwal and Siddhartha Finance of Bhairahawa have been permitted to merge with each other.

The financial institutions have applied for upgrade by presenting Rs 2.1 billion paid capital. All process for the merger has been completed and documents have been sent to NRB for final approval, said Himchuli Development Bank's chairman Sushil Raj Parajuli.
The details of all institutions have been received to issue rights shares for merger, he said. He said rights sharea will be issued soon and the merger process will complete by Dashain. Each of the institute will contribute Rs 420 million.
Source: eKantipur
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NFC & NFL Merged

In a special general meeting organized today, Narayani Finance Ltd. and National Finance Ltd. decided to merge together. The company is named "Narayani National Finance Ltd." after the amalgamation. The merged company will be issuing 1:0.5 right shares to its shareholders to upgrade itself as a development bank.

At present, NFC is providing its services from three outlets, its corporate office in New Road, Kathmandu, its branch office located in Itahari and a Liaison centre in Banepa. Likewise, NFL is delivering its services from its corporate office in Chitwan and a branch office in Ratnanagar. However the head office of the merged company will be located in Kalikastha, Kathmandu. Mr. Umesh Singh Bhandari will be heading Narayani National Finance Ltd as the Chief Executive Officer of the company.

Meanwhile, the company also announced to issue more right shares in future to develop into a commercial bank.
Source:
Jamb News Service
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