Himalayan Bank Limited (HBL) will have its annual general meeting (AGM), which is expected to approve the bank217;s merger with Nepal Investment Bank Limited (NIBL), which has been progressing at a snail’s pace in recent months.
The HBL has called for its 29th annual general meeting, which will include a discussion on the issue of merging as one of eight particular proposals to be discussed at the meeting, according to a public notice. According to HBL, the key agenda items to be discussed at the AGM will include raising the company217;s paid-up capital to Rs 16 billion, issuing 21.38 percent bonus shares, and fixing the swap ratio at 1:1 for mergers, among other things.
It was on May 13 that the two commercial banks signed a memorandum of understanding for the purpose of merging, agreeing to name the resulting business ‘Himalayan and Nepal Investment Bank Limited.’ These entities have already over the six-month deadline set by the central bank to finish the unification process, but there has been no meaningful movement to far.
Three weeks ago, they wrote to Nepal Rastra Bank, seeking that the time for completing the final unification process be extended for another three months.