फर्स्ट माइक्रोफाइनान्स र महिला लघुवित्त मर्जरमा जाने, प्रारम्भिक समझदारीमा हस्ताक्षरFirst Microfinance and Mahila Laghubitta Sign Preliminary Merger Agreement

Kathmandu — First Microfinance Laghubitta Bittiya Sanstha Limited and Mahila Laghubitta Bittiya Sanstha Limited have formally entered the merger process after signing a preliminary memorandum of understanding.

The two institutions signed the merger-related MoU at 5 pm on Shrawan 25, marking the beginning of negotiations for their institutional integration.

First Microfinance has its central office in Gyaneshwor, Kathmandu, while Mahila Laghubitta is headquartered at Sanga in Banepa Municipality-13, Kavrepalanchok.

With the preliminary agreement in place, the two institutions are expected to proceed with further assessments covering assets and liabilities, capital structure, management arrangements and the share swap ratio.

The merger, however, is not yet final. The proposal will need to pass through regulatory procedures and receive approval from the respective general meetings of both institutions before the integration can be completed.

Following the signing of the MoU, restrictions will also apply to share transactions by certain shareholders.

Under the Securities Board of Nepal’s Merger and Acquisition Directive, 2079, the shares held by basic or promoter shareholders of institutions undergoing a merger are required to remain restricted until the merger proposal receives a final decision from the general meeting.

Accordingly, promoter and other qualifying shareholders of First Microfinance and Mahila Laghubitta will not be permitted to trade their shares during this period.

The provision is intended to prevent unusual or potentially information-sensitive share transactions while the merger process is underway.

If completed, the merger could strengthen the combined institution’s capital base, operational reach and institutional capacity. However, important details—including the final swap ratio, the name of the merged entity, board composition and management structure—have not yet been disclosed.

The agreement comes at a time when merger and acquisition activity has become an important consolidation tool in Nepal’s microfinance sector, particularly as institutions seek stronger capital positions, lower operating costs and greater efficiency.

For investors, the immediate focus will now shift to the valuation process and the eventual share swap ratio, which will determine how the ownership interests of shareholders in the two institutions are adjusted after the merger.