Citizens Sadabahar Yojana IPO: Open-Ended Mutual Fund Opens Ashadh 13, 2082
26th June 2025, Kathmandu
Citizens Capital Limited has announced that its new open-ended mutual fund scheme, titled ‘Citizens Sadabahar Yojana’, will open for public offering starting Friday, Ashar 13, 2081 (July 26, 2024).
Citizens Sadabahar Yojana IPO
The scheme is being launched under the Citizens Mutual Fund banner and aims to provide investors with long-term returns through a professionally managed diversified portfolio.
50 Million Units To Be Issued
Under this scheme, 50 million mutual fund units will be offered at a face value of NPR 10 per unit. Out of the total units, 7.5 million units (15% of the total sold) will be reserved for the scheme’s fund promoter, Citizens Bank International Limited, while the remaining minimum of 42.5 million units will be issued to the general public.
The fund manager, Citizens Capital Limited, will handle both the management and depository responsibilities for this scheme.
Application Criteria And Timeline
Investors must apply for a minimum of 100 units, while the maximum limit per application is 5 million units. The public issue will remain open from Shrawan 13 (July 26) to as early as Asadh 17 (July 1) or as late as Asadh 27 (July 11) depending on subscription volume.
If the scheme fails to receive applications for at least 25 million units during the issuance period, it will be cancelled, and all investor funds will be refunded. However, if the scheme receives overwhelming demand, it has a provision to increase the size by 25%, bringing the total number of units up to 62.5 million.
Key Highlights Of The Scheme
Scheme Type: Open-ended mutual fund
Fund Promoter: Citizens Bank International Limited
Fund Manager/Depository: Citizens Capital Limited
Issue Size: 50 million units (expandable to 62.5 million)
Price per Unit: NPR 10
Minimum Subscription: 100 units
Maximum Subscription: 5 million units
Redemption: Allowed after 3 months from unit allotment
Maturity Period: Not applicable
Stock Market Listing: Not listed on the secondary market
Trading And Redemption
This open-ended scheme will not be listed on the secondary market. However, Citizens Capital has made arrangements for unit purchase and redemption through authorized institutions. Unit holders will be allowed to buy or sell units three months after allotment, ensuring liquidity even without stock exchange listing.
Past Success Of Citizens Capital
Citizens Capital had previously launched a closed-ended 7-year mutual fund titled ‘Citizens Mutual Fund 1’, which proved to be successful. The scheme delivered an average annual return of 12% to investors, which built trust among retail and institutional participants alike. The success of that fund is expected to contribute to the positive reception of the current open-ended scheme.
Strategic Move To Broaden Retail Participation
By offering a flexible, open-ended structure with no maturity date and a low entry price point, Citizens Sadabahar Yojana aims to attract both small and large investors. With Citizens Bank acting as the fund promoter and backing 15% of the issue, the fund comes with credibility and financial strength.
Moreover, Citizens Capital’s expertise in fund management and transparent processes are expected to provide sustainable long-term value for investors. The fund intends to invest in a diversified portfolio including equities, fixed-income instruments, and other approved financial assets.
Conclusion
The launch of Citizens Sadabahar Yojana is a step toward encouraging long-term investments among Nepali citizens. With rising awareness and market participation, this open-ended mutual fund offers an opportunity for diversified investment, backed by a trusted promoter and managed by experienced professionals.
Interested investors can apply through approved financial intermediaries within the specified issue period. For more information, applicants are advised to visit Citizens Capital’s website or reach out to their nearest distribution partners.
For more:- Citizens Sadabahar Yojana IPO
