Kathmandu. It has been revealed that an agreement has been reached between Bank of Kathmandu (BOK) and Global IME Bank to merge. According to a source close to Bank of Kathmandu, a merger agreement was signed between the two banks on July 13.
A high-ranking official of Global IME Bank also admitted this. According to him, it has been agreed that BOK will get a swap ratio of 90 to 95. It is understood that the directors of the two banks have agreed to complete the work at a very fast pace considering the possibility of splitting the merger process.
According to bank sources, both the banks are ready to move ahead with the merger process by publishing the second quarterly report of the current fiscal year, i.e. financial statements up to mid-December. Recent discussions between key operators of the two banks have laid the groundwork for a merger.
Bank of Kathmandu was also in talks with Mega Bank, Sunrise Bank and Siddhartha Bank for a merger, while Global IME was also looking for a suitable partner to become the largest bank. In this context, the repeated discussions between the two banks on merging with each other have taken concrete form.
Global IME Bank merging with BOK will become the largest commercial bank in Nepal. Earlier, two commercial banks, Commerce and Trust and Janata Bank, were merged by Global IME. In addition, Global IME Bank has merged about a dozen other small banks and financial institutions.