July 8: Altogether 15 commercial banks have informed Nepal Rastra Bank of their readiness for merger as per the instruction of the central bank.
According to Laxmi Prapanna Niraula, altogether 15 commercial banks, one development bank and a micro finance company has agreed for merger and acquisition as of Sunday evening.
The commercial banks which have submitted letters to the central expressing their commitment for merger include NMB Bank, Sunrise Bank, Citizens Banbk, Laxmi Bank, NCC Bank, Sanima Bank, Civil Bank, Machhapuchhre Bank, Century Bank, Nepal SBI Bank, Kumari Bank, NIC Asia Bank, Himalayan Bank, Mega Bank and Nepal Investment Bank.
Meanwhile, Prime Commercial Bank has signed an agreement to acquire Kailash Bikash Bank.
Rajendra Das Shrestha, chairman of Prime Commercial Bank, and Narayan Prasad Poudyal, chairman of Kailash Bikash Bank, signed the agreement on behalf of their respective organizations on Friday, July 5.
According to the agreement, Narayan Das Shrestha, the current CEO of Prime Commercial Bank, will remain the CEO after acquisition. Likewise, the bank has agreed to employ the entire staff of Kailash Bank.
Prime Commercial Bank has also decided to acquire Kankai Development Bank and Lalitpur Finance.