ADBL ready to issue largest ever IPO

The Agricultural Development Bank Limited (ADBL) has said that it is set to issue ordinary shares as soon as the Securities Board of Nepal (SEBON) gives the go-ahead. The bank said on Tuesday that it had already fixed the sales and issue manager and the collection centers for share applications.

"We are just waiting for SEBON's final decision," said chief executive officer Shyam Singh Pandey at a press meet held to publicize the bank's achievements in the last fiscal year. The ADBL has appointed Ace Development Bank as issue manager and underwriter. The share issue worth Rs. 960 million will be the largest ever in the country's history. SEBON said that it was at the final stage of giving its approval to the ADBL's share issue. "It should not take long for the approval to come," said SEBON chairman Surbir Poudel.

Pandey added that the bank would be modernising its service by installing core banking system which would allow it to start any branch banking system. "We have already signed the purchase agreement with the vendor Timenos, Singapore, and the company is working to install the system," he said. The Asian Development Bank has been providing assistance to ADBL for its restructuring and modernization.

The Asian Development Bank has provided US$ 6.5 million to the ADBL to purchase the core banking system software. The ADBL said that it was also planning to start foreign exchange, letter of credit (LC) and online banking services besides expanding its ATM network throughout the country. "We have already established a treasury department in order to work on the bank's short-term investment, foreign exchange and liquidity management," said Pandey.


Source:
ekantipur.com