Nepal Bank auctioning 8.9 million units of promoter share of 4 companies worth Rs. 3 billion 170 million

Kathmandu November 9- Nepal Bank Limited will be selling 8.9 million units of promoter shares of four different companies. Altogether 8million 878 thousand and 630 unit shares of Ratriya Beema Company, Citizen Investment Trust, Nepal Insurance and Tara Gaun Regency Hotel Limited will be sold in an auction by Nepal Bank Limited.

As per the sources, Nepal bank withholds 136 thousand and 410 shares of Rastriya Beema Company which is the highest among other shares. The minimum bidding price has been fixed for Rs 4,312 which is trading at Rs 4,700 in secondary market. Nepal Bank will be earning Rs 588 million 247 thousand even if the shares are sold at the minimum quoted price.

Nepal bank also holds 333 thousand and 940 unit shares of Citizen Investment Trust which has been quoted for Rs. 2,541 as a minimum bidding price. Nepal Bank will earn Rs 1billion 16million and 247 thousand even if the shares are sold at the minimum price.

The minimum bidding price for the shares of Nepal Insurance Company has been fixed at Rs 279.81. Nepal Bank holds million 342 thousand and 280 unit shares of Nepal Insurance. Nepal bank will earn Rs 375 million 540 thousand even if the shares are sold at the minimum price.

Similarly, NepaL Bank holds 7 million unit shares of Tara Gaun Regency Hotel. The minimum bidding price of the shares of Tara Gaun Regency Hotel is Rs 172.22. After selling the shares, Nepal Bank will at least earn Rs 205 milion 540 thousand.

As per the source, the price has been quoted according to the report prepared by Kirti Capital Limited.

Nepal bank will utilize so earned money to compensate the losses of the bank. Nepal Bank had a loss of Rs 2 billion 590 million in last fiscal year. After the auction, Nepal bank's reserve will have positive balance of Rs. 580 million. Source: SS