National Life Insurance to Acquire Habib Bank’s Stake in Himalayan Bank

Kathmandu – Pakistan’s Habib Bank Limited (HBL) has finalized an agreement to sell its stake in Himalayan Bank Limited (HBL) to National Life Insurance Company Limited. A formal share purchase agreement was signed between the two institutions last Friday.

Before the agreement, National Life Insurance had secured approval from the Nepal Insurance Authority to participate in the bidding process for the acquisition. Following the clearance, the insurer submitted its bid to acquire the shares.

As part of the transaction, Habib Bank has begun the process of sending a letter to Himalayan Bank to obtain final approval from Nepal Rastra Bank, the country’s central regulator.

Habib Bank had earlier proposed selling its 12.93 percent stake, amounting to 2,80,12,448 shares, at a base price of Rs 112.80 per share. National Life Insurance, however, placed a higher bid, offering Rs 118.80 per share for the acquisition.