NIB, Mega start integrated operation as Nepal Investment Mega Bank

Nepal Investment Bank (NIB) and Mega Bank (MEGA) today started the integrated operation as Nepal Investment Mega Bank (NIMB).

Chair of the two banks – Prithvi Bahadur Pandey of NIB and Bhoj Bahadur Shah of Mega – inaugurated the joint operations at an event organised here in Kathmandu.

According to a press note issued by the Nepal Investment Mega Bank, the total paid up capital of the integrated entity is now Rs 34.12 billion, while its total assets worth at Rs. 471 billion. “The total capital is calculated at Rs 580 billion, and the deposit stands at Rs 360 billion with a total of Rs 329 billion as loan.”

The merged entity – Nepal Investment Mega Bank – has 296 branches, 59 extension counters, 279 ATM booths and over three million customers, the press note claims, adding that the NIB and Mega merged at 100: 90 share swap ratio. “The chair of the board of directors and chief executive officer (CEO) of the erstwhile NIB Prithvi Bahadur Pande and Jyoti Prakash Pandey continue as the chair and CEO of Nepal Investment Mega Bank.”

Pande will chair the board, whereas Pandey is leading the management as the CEO of Nepal Investment Mega Bank. Likewise, the board has the representations from both NIB and Mega. Prajanya Rajbhandari and Kabi Kumar Tibrewala represent the NIB, whereas Gopal Khanal, Madan Kumar Acharya and Mukti Ram Pandey represent Mega.

The integrated operations of Nepal Investment Mega Bank marks the fourth big merger of commercial banks within last two weeks. Kumari Bank and NCC Bank started joint operations as Kumari Bank on January 1, whereas Global Bank and Bank of Kathmandu started integrated operations as Global Bank on January 9, and Prabhu Bank completed its acquisition of Century Bank and started the integrated operations as Prabhu Bank on January 10.

According to the central bank, two more mergers of commercial banks – Himalayan Bank and Civil Bank, and Laxmi Bank and Sunrise Bank – are on the cards. The integrated operations of these four banks as two will start within a month, according to Nepal Rastra Bank.