KATHMANDU: Himalayan and Civil Bank has finally agreed upon to merge. A merger agreement between the two banks is scheduled to be signed next Friday.
According to sources, the swap ratio has been fixed at 100: 81. This means that the shareholders who have 100 shares in Civil Bank will have 81 shares when they merge with Himalayan Bank.
At present, the paid up capital of Himalayan Bank is Rs 12.96 billion and that of Civil is Rs 9.07 billion. After the merger, the bank’s paid-up capital will reach Rs 22 billion.
The name of the institution to be formed after the merger will be Himalayan Bank. Ashok Rana of Himalayan will continue as the chief executive officer of the new bank.
The new bank will have Sunil Pokharel of Civil Bank as its senior deputy chief executive officer.