Following the agreement, the stock trading of Nepal Agro has been suspended by Nepal Stock Exchange (NEPSE).
As per the agreement, the joint entity will be called NESDO Samridha Laghubitta with the chairmanship of Viswo Prakash Prasain, current chairman of NESDO while the post of CEO will be run by Tejendra Sharma Lamsal, current CEO of Nepal Agro.
The companies have agreed on swap ratio of 1:1 and the head office of the joint entity will be remained at Pokhara Municipality, Ward no 17.
Currently, Nepal Agro Laghubitta has a paid-up capital of rs 49.7 million that will reach Rs 57.1 million after 15 percent bonus share distribution. Similarly, the paid-up capital of NESDO will reach Rs 170 million. After the merger, the paid-up capital of the joint entity will reach Rs 232.2 million.
