The companies have decided to merge with a swap ratio of 1:1.
The board of directors meeting of both companies approved the swap ratio recommended by joint merger committee.
Currently, as per the first quarter report of the current FY, Pokhara Finance has paid-up capital of Rs 1.08 billion and has reserve fund of Rs 510 million. The company collected deposits of Rs 11.80 billion and extended loans of Rs 9.65 billion. The company earned net profit of Rs 18.4 million. During the period, it has NPL of 4.34 percent.
In the meantime, Samriddhi Finance has paid-up capital of Rs 818.9 million and reserve loss of Rs 269.4 million. It earned net profit of Rs 505.6 million. The company that collected deposits of Rs 3.27 billion has loan extensions of Rs 2.47 billion.
After the merger, the paid-up capital of the joint entity will reach Rs 1.90 billion.
