# Update WACC after mergers and share sells in Nepal

> When Nepali companies merge or rearrange shares, your MeroShare purchase history can show a placeholder rate instead of your real cost. Lagani Saathi syncs your holdings, carries forward the correct purchase rate, and submits WACC updates to MeroShare in bulk after explicit confirmation.

Learn how weighted average cost (WACC) changes after mergers, acquisitions, rearrangements, and share sells in Nepal, and how to bulk-submit the corrected purchase rate on MeroShare with Lagani Saathi.

## Formula

**actual purchase rate** = total investment in the merged company ÷ total quantity credited in the new company

## Highlights

- **Calculate the real purchase rate**: After a merger, actual rate = total investment in the merged company ÷ total quantity credited in the new company. Under the 100:90 swap, Mega Bank (MEGA) shareholders' count dropped 10%: 200 MEGA shares (IPO + bonus + market + right) averaging Rs 270, total cost Rs 54,000, became 180 Nepal Investment Mega Bank (NIMB) shares — so the rate is 54,000 ÷ 180 = Rs 300.
- **Fix placeholder prices**: Merger/acquisition and rearrangement entries default to a Rs 100 placeholder with an unknown-price flag. Carry the correct cost forward so your average buy rate reflects reality.
- **Bulk submit with confirmation**: Review pending scrips across a Demat account and submit all WACC updates at once, gated behind a legal declaration checkbox. Lagani Saathi automates the whole WACC calculation and submission process.

## FAQ

### What is WACC in the Nepali share market?

WACC (weighted average cost) is your actual per-share purchase price. MeroShare uses it for average buy rate and total cost, and it matters for capital-gains tax.

### How do I find the correct rate after a merger?

Divide your total investment in the old company by the quantity credited in the new company. After a successful merger, MEGA and NIB commenced joint transactions as Nepal Investment Mega Bank (NIMB), so their listed shares now trade under the symbol NIMB. Under the 100:90 swap, 200 MEGA shares (IPO + bonus + market + right) with an average buy rate of Rs 270 and total cost of Rs 54,000 became 180 NIMB shares — a rate of 54,000 ÷ 180 = Rs 300 per share.

### Does updating WACC change the shares I own?

No. It corrects the recorded purchase price so your average buy rate and cost basis are accurate. Your total quantity stays the same.

### What happens if I submit a lower WACC rate?

Your WACC is your cost basis. Capital-gains tax is calculated on the profit — the difference between your selling price and your purchase cost. A lower rate understates your cost, so that difference is treated as extra profit and you pay more tax than you actually owe.