Everest Bank auctioning unsold 2.53 lakh units ordinary right shares at Rs 100 & above from today; LTP at Rs 1,272
Everest Bank Limited (EBL) is auctioning its unclaimed right shares from today (Bhadra 25, 2074).
The commercial bank is auctioning 2,53,797 units ordinary shares after the right shares issued from Asadh 18,2074 to Shrawan 22, 2074 were not fully subscribed by its shareholders. The bank had floated a total of 15,088,087 units right shares in the ratio 3:1 and around 1.6% right shares were left unclaimed.
The auction will last till Ashwin 1, 2074 and the bids will be opened to conclude the auction on Ashwin 2, 2074.
NIBL Capital Market Limited is the issue manager for this auction.
Bidders must quote a minimum price of Rs 100 per unit, which means that the lowest bid amount must be more than Rs 100.Interested bidders must bid for a minimum of 100 units of shares.
Interested investors can collect bid forms from NIBL Capital Market Limited, Lazimpat, Kathmandu and submit their bids within office hours on Ashwin 1, 2074.
The bank has urged all bidders to deposit the bid amount in account number 0124524616846016 maintained in the name of NIBL Capital Market Limited at Kumari Bank Limited.
After the adjustment of the rights shares, the bank’s total paid-up capital will reach to Rs 6.03 arba from existing Rs 4.52 arba. As per NRB’s requirement for all commercial banks to increase their paid up capital to a minimum of Rs 8 arba by the end of FY 2073/74, EBL will need to issue a further capital hike of around 32.50%.
Moreover, from the auction, it will collect premium more than Rs 27.15 crore. The estimated amount is calculated at Rs 1070 which is 10% less of the current market price and excluding paid up capital amount.
EBL has earned Rs 1.98 arba net profit in the fourth quarter in the fiscal year 2073/74. Its last traded price stood at Rs 1272 as on September 7 , 2017.