Electro Power and NC Agro Tech Apply to SEBON for IPO Approval
24th November 2025, Kathmandu
Two distinct companies, Electro Power Company Limited and NC Agro Tech Industries Limited, have submitted applications to the Securities Board of Nepal (SEBON) seeking final approval to issue their respective Initial Public Offerings (IPOs).
Application to SEBON
These moves underscore the continued enthusiasm for public equity mobilization in Nepal, particularly in the infrastructure and industrial sectors. Both companies will proceed with their public issuance once they receive the necessary clearance from SEBON.
Electro Power Company Limited IPO Details
Electro Power Company is a key player in the hydropower sector, and its IPO is a substantial step toward finalizing the equity component of its project financing.
Sector and Project: Electro Power is currently developing the 44 MW Bhotekoshi 1 Hydropower Project in the Sindhupalchok District. The successful issuance of this IPO is crucial for the company to mobilize the necessary equity capital to meet the project’s financial closure deadlines.
Total Issue Size: The company has applied to issue shares worth a total of Rs 81.25 crore (NPR 812.5 million).
Shares Offered: This total issue size corresponds to 81,25,000 ordinary shares, each with a standard face value of Rs 100 per share.
Issue Manager: NIMB S Capital Limited has been appointed as the issue manager for the Electro Power IPO. The issue manager is responsible for conducting due diligence, managing the application process, and ensuring compliance with regulatory requirements.
Capital Mobilization Strategy: The capital raised through this IPO will support the project’s estimated cost of approximately NPR 9.46 billion. The company’s strategic focus is on securing long-term, stable returns from its power generation capacity, which is guaranteed by a Power Purchase Agreement (PPA) with the Nepal Electricity Authority (NEA).
NC Agro Tech Industries Limited IPO Details
NC Agro Tech Industries represents the industrial sector, and its IPO highlights the growing need for public capital in the manufacturing and agro-processing space.
Sector and Focus: NC Agro Tech Industries is involved in the agro-processing sector, a vital component of the Nepali economy. The capital infusion from the IPO is expected to fund expansion, modernization, or diversification of its production capabilities.
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Total Issue Size: The company is seeking approval to issue shares with a total value of Rs 18.75 crore (NPR 187.5 million).
Shares Offered: This issue size corresponds to 18,75,000 ordinary shares, with a consistent face value of Rs 100 per share.
Issue Manager: Global IME Capital Limited has been appointed as the issue manager for the NC Agro Tech Industries IPO.
Industrial Importance: Raising public capital for agro-tech industries contributes directly to job creation, reduces reliance on imports, and enhances the value-addition chain within the country. The success of this IPO will signal positive investor sentiment toward manufacturing and technology-driven agriculture in Nepal.
Regulatory Process and Next Steps
Both companies are currently positioned within the SEBON IPO pipeline. The issuance process will proceed only after the SEBON, after thorough review, grants final approval.
SEBON Review: SEBON reviews the issuer’s compliance, financial health, risk disclosures, and the viability of the project or business plan. Once satisfied, SEBON grants approval.
Public Issuance: Following approval, the companies will announce the IPO opening dates. The shares will be offered to the general public, employees, and often project-affected locals, depending on the sector. Applications are processed through the C-ASBA system.
Credit Rating: Prior to the public issuance, both companies will be required to obtain an issuer credit rating from a rating agency like ICRA Nepal or CARE Ratings Nepal. This rating informs investors about the level of credit risk associated with the issuer. Electro Power has an existing rating of [ICRANP] LBB-, indicating an average credit risk, which is a common starting point for hydropower developers.
The successful entry of both an energy company and an industrial manufacturing company into the public market signifies a healthy diversification of investment opportunities for the Nepali public.
For More: Application to SEBON
