Kathmandu. Even if Pakistan's Habib Bank wanted to sell 20 percent of the founding shares in Himalayan Bank, it was not immediately possible. The UK's Commonwealth Development Corporation group, which has been interested in buying the shares for nearly a year and a half, has been sidelined due to CDC Covid-19.

By the time of the bank's annual general meeting last year, the work on the liability assessment (DDA) of Habib's shares was about 80 percent complete and the rest would be done after the general meeting. However, this did not happen immediately. However, CDC has now refrained from buying Habib's shares, citing Kovid's reasons.

Chairman of Himalayan Bank, Tulasi Prasad Gautam, said that the CDC had expressed its intention not to invest in the stock due to Kovid.

After the distribution of 10 percent bonus shares from the annual general meeting of the fiscal year 2075/76 last December, the issued capital of Himalayan Bank increased to Rs. 9 billion 377.2 million 81 thousand 428. Habib owns 17 million 40 thousand 511 shares, which is 20 percent of the total number of shares of the bank.

Habib Bank wanted to sell its shares in Himalayan Bank saying that there was no trade between Nepal and Pakistan and there was no Pakistani community in Nepal.

Habib had offered to buy the shares of the founding shareholders of Himalayan Bank after deciding to sell the shares. Habib initially made the offer, as other founding shareholders of the company have the first legal right to buy founder shares. However, after the founding shareholders replied that they would not buy the shares, Habib intended to sell them to an international organization. After the CDC withdrew from the share purchase, Habib Bank had requested the Employees Provident Fund to buy the shares.

Chairman of the bank Gautam said that it would not be possible to buy all the shares of Habib as the fund has 14 percent founder share in Himalayan Bank. As mentioned in the Employees' Provident Fund Act, the fund can invest only up to 25 percent in any bank and financial institution.