Hotel Forest Inn IPO Opens from Magh 4 for Foreign Nepalese Investors

8th January 2026, Kathmandu

Hotel Forest Inn Limited has announced the opening of its Initial Public Offering (IPO) starting from Magh 4, 2082. This primary market issuance is specifically structured to favor Nepalese citizens currently working abroad, providing them with a formal avenue to invest in the country’s high-end hospitality sector. The company, which is developing a premier five-star resort in Budhanilkantha, Kathmandu, has received approval from the Securities Board of Nepal (SEBON) to issue 4,000,000 ordinary shares at a par value of 100 rupees.

Hotel Forest Inn IPO

In this first phase, 400,000 units are being offered to the migrant worker community. This initiative reflects the national policy of integrating the global Nepalese diaspora into domestic capital formation, allowing workers to build equity in a landmark infrastructure project while contributing to the national tourism economy.

A 5-Star Vision: Holiday Inn Resort Budhanilkantha

Hotel Forest Inn Limited is the owner of the “Holiday Inn Resort Budhanilkantha,” a luxury property developed in technical collaboration with the InterContinental Hotels Group (IHG). Strategically located at the foothills of the Shivapuri Nagarjun National Park, the resort is designed to offer a unique blend of nature and high-end hospitality.

Project Highlights and Amenities:

Location: Budhanilkantha, Kathmandu (approx. 11 km from the international airport).

Land Area: Spread over approximately 1.42 lakh square feet of prime forest-adjacent land.

Room Capacity: 105 meticulously designed rooms, including standard, deluxe, and presidential suites.

Key Features: The resort includes a specialized Chinese restaurant, an infinity bar, a fitness club, a spa, and large banquet facilities for corporate events.

Status: The hotel commenced its “soft launch” operations in June 2024 and is currently scaling up to full capacity under the IHG “Holiday Inn” brand.

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Investment Details and Subscription Window

Eligible investors must hold a valid labor permit from the Government of Nepal and apply through the C-ASBA system using their Mero Share accounts.

• Opening Date: Magh 4, 2082.
• Early Closing Date: Magh 8, 2082.
• Extended Closing Date: Magh 18, 2082 (only if under-subscribed).
• Application Limits: Minimum 10 shares (1,000 rupees) to a maximum of 200,000 shares (20,000,000 rupees).

This wide investment range is designed to accommodate both small savers looking for a stable long-term asset and larger investors seeking a significant stake in the premium hospitality market.

Credit Rating and Risk Analysis

Infomerics Credit Rating Nepal Limited has assigned an issuer rating of IRN BB- (Is) to Hotel Forest Inn Limited. The “Double B Minus” rating signifies a moderate risk of default regarding the timely servicing of financial obligations.

Key Rating Drivers:

Strengths: Association with a globally recognized brand (IHG), an experienced board of directors, and a strategic location in an area with high demand for premium staycations and corporate retreats.

Weaknesses: The hospitality sector is highly sensitive to seasonal tourism fluctuations and regional political stability. Additionally, the company faces “operational stabilization risk,” which is common for new large-scale hotel projects that require time to achieve optimal occupancy rates.

Role of NIC Asia Capital Limited

NIC Asia Capital Limited is acting as the official issue and sales manager for the IPO. They are responsible for overseeing the transparency of the bidding process and ensuring that all regulatory compliances are met during the share allotment. Following the successful completion of the first phase for migrant workers, NIC Asia Capital will manage the subsequent second phase, where the remaining 3,600,000 shares will be offered to the general public in Nepal.

Future Outlook for Shareholders

As Nepal’s tourism industry rebounds with increased flight connectivity and a surge in luxury-seeking domestic travelers, Hotel Forest Inn Limited is positioned as a key player in the “Budhanilkantha Tourism Circuit.” For shareholders, the investment offers potential for capital appreciation as the resort stabilizes its operations and begins generating consistent cash flow. Furthermore, the association with an international brand like IHG ensures that the property maintains high global standards, potentially leading to higher property valuations over time.

Conclusion

The Magh 4 IPO of Hotel Forest Inn Limited is a landmark opportunity for Nepalese workers abroad to transition from remitters to investors. By owning a piece of a 5-star resort managed by a world-class hotel chain, investors are securing a stake in Nepal’s future as a premier global destination. With its unique location and professional management, the resort is set to become a flagship property in the Kathmandu Valley, promising a balance of prestige and long-term financial growth for its public shareholders.

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