If two companies are merging in the ratio of 1:1, then it is better to buy stock having lower price, isn’t it?
for instance, kbl and nccb are merging in 1:1 ratio. So its better to buy NCCB(ltp179.70) than KBL(ltp 183.30). Am I right here?
View on r/NepalStock by ShoddyStreet677
Global IME Bank Limited (GBIME) has added 112,614,336 new shares to the NEPSE.
On 2nd Ashad, 2079, Global IME Bank Limited (GBIME) and Bank of Kathmandu Limited (BOKL) signed a merger agreement and agreed to a 1: 1 share swap ratio for the merger. As a result of the merger, the additional shares are now listed in NEPSE. After the merger, GBIME’s total listed shares were 245,096,261 and BOKL’s were 112,614,337.17, for a total of 357,710,597 unit shares.
138,125 additional shares of Unique Nepal Laghubitta Bittiya Sanstha Limited (UNLB) have been listed in NEPSE.
Ghodighoda Laghubitta (GGBSL) and Unique Nepal Laghubitta signed the merger agreement with each other on Kartik 21, 2077 and endorsed a 1: 0.5 share swap ratio for the merger. Thus, the additional shares after the merger are now listed in NEPSE. UNLB’s total listed shares were 968,200 units. After the merger, 138,125 shares of GGBSL have been added to 968,200 shares, making it a total of 11,06,325 unit shares.