14 July, Kathmandu.
Bank of Kathmandu Ltd. and Lumbini Bank Ltd. have successfully completed the merger process and commenced their joint operation in the name of Bank of Kathmandu Lumbini Ltd. from today.
The corporate logo of Bank of Kathmandu Lumbini Ltd. was unveiled by the Governor of Nepal Rastra Bank Dr. Chiranjivi Nepal amidst a formal program held at Nepal Academy Hall today.
The two banks had signed a Memorandum of Understanding on 2072 Paush 9 for merger and filed a joint application with Nepal Rastra Bank seeking in principle consent for the same. After receiving the in principle consent from Nepal Rastra Bank both banks entered into Merger Agreement (Scheme of Arrangement) and obtained specific approvals from their respective general meetings. Lumbini Bank Ltd. held its annual general meeting on 2073 Baishakh 27 and Bank of Kathmandu Ltd. on 2073 Jestha 17 for the purpose. After completing these processes both banks filed a joint application with Nepal Rastra Bank for the final approval of merger and obtained the same on 2073 Ashadh 24.
Both the banks that have been merged are Class A banks. Bank of Kathmandu Ltd. had commenced its operation on 2051/11/28 and LumbiniBank on 2063/01/12. Following the provision of raising the paid up capital to minimum Rs. 8 billion by FY 2073/74 both the banks had published their capital plan which included merger a prospective means to increase its capital based on which this merger was initiated. After the merger the paid up capital of the merged bank, Bank of Kathmandu Lumbini Ltd. has reached Rs. 4.57 billion. Further, the share swap ratio of 1 : 0.8281 agreed between Bank of Kathmandu Ltd. and Lumbini Bank Ltd has also resulted capital reserve of Rs. 0.39 billion in the books of the merged institution.
As per the unaudited financial figures published by both the banks as on Chaitra end 2072 total deposit and loans of Bank of Kathmandu Ltd. had reached Rs.40.72 and Rs34.85 billion respectively. The deposit and loans of Lumbini Bank Ltd. as on the same date had reached Rs. 22.94 billion and Rs. 20.36 billion respectively. Similarly, net profit of Bank of Kathmandu Ltd. and Lumbini Bank Ltd. as on the same date was published as Rs. 483.51 million and Rs. 277.93 million respectively.
Bank of Kathmandu Lumbini Limited’s newly appointed Boards of Directors are as follows:
Representing Bank of Kathmandu Ltd. are:Mr. Satya Narayan Manandhar (Promoter), Mr. Santa Bar Singh Thapa (Promoter), Mr. Govinda Prasad Sharma (Public), Mr. Chop Narayan Shrestha (Public), Professor Hem Raj Subedi, Ph. D (Public).
Representing Lumbini Bank Ltd. are:Mr. Kedar Nath Gautam (Public), Mr. Subarna Lal Shrestha (Promoter), Mr. Madan Lal Joshi (Public) and Mr. Dibyanidhi Bista (Professional Director).
At a meeting held today at the Bank, the newly formed Board of Directors have unanimously elected Mr. Satya Narayan Manandharas the Chairman of Bank of Kathmandu Lumbini Limited. The Board also appointed Mr. Ajay Shresthaas the Chief Executive Officer of Bank of Kathmandu Lumbini Limited.
The registered and head office of Bank of Kathmandu Lumbini Ltd. is Kamalpokhari, Kathmandu. The service of the Bank can now be availed from 74 branches, 63 ATMs, 7 extension counters and 33 branchless banking points throughout the country.
More information about the Bank can be obtained from its nearest branch or by dialing the toll free number 16600100003/16600100049. Information can also be obtained from the bank’s website www.boklumbini.com.np.
