10th September 2022, Kathmandu
31 companies have submitted their application to the Nepal Securities Board (SEBON) for the issuance of ordinary shares (IPO) and are awaiting approval. According to Sebon, while waiting for the approval, each company has applied for the initial share issue of 72,947,731 shares worth 10 billion 157 million 30 thousand 785 rupees.
Two companies submitted for approval in Sebon have requested before the board to be allowed to sell shares through the book building method. Sarvottam Cement and Reliance Spinning Mills have asked permission to issue shares through the book-building method. Sarvottam Cement is preparing to issue 2.4 million shares through book building. Sarvottam share price has been set at Rs 501 to Rs 751.50 per share.
The companies in the pipeline for IPO issuance include two insurance companies, 18 hydropower companies, two microfinance companies, and other companies including Dis Media Network, Muktinath Krishi Company, Kalinchok Darshan Company, Hathway Investment Nepal, and City Hotels.
According to Sebon, Reliance Spinning Mills is about to issue shares through book building. It is going to sell 7 lakh 70 thousand 640 shares. Its share price is set at Rs 608 to Rs 912 per share. Similarly, Trade Tapper Limited has prepared to issue 11 lakh 58 thousand shares worth 11 crores 58 lakh 98 thousand rupees.
Similarly, two microfinance companies are in the IPO pipeline. 97,000 shares worth 97 lakh rupees of BPW microfinance institution are in the pipeline for issuance. 2 lakh 3 thousand 380 shares worth Rs 2 crore 3 lakh 38 thousand of self-sufficient microfinance financial institution are in the pipeline for IPO issue.
Similarly, Reliable Life Insurance is preparing to issue 6 million IPOs worth 1.27 billion rupees. It is said that the price of this IPO will be Rs 112 per share with a premium of Rs 212. Similarly, IME Life Insurance is also in the pipeline for issuing 60 lakh shares worth Rs 60 crore.
Similarly, Dis Media Network Limited is also awaiting approval from Sebon for the IPO sale. This company will issue 23 lakh 85 thousand 929 shares worth Rs. 23,85,92,900.
According to Sebon, 400,000 shares of Muktinath Agricultural Company worth 40 million rupees, Kalinchok Darshan 1200,000 shares worth 120 million rupees for locals and the general public, Hathaway Investment Nepal Limited 29,250,000 shares worth 1462,500 rupees, and City Hotels 1,674,000 shares worth 160,740,000 rupees are in the pipeline for issuance. After receiving approval from Sebon, the further process for the IPO of these companies will proceed.
18 Hydropower awaiting issuance
Among the hydropower companies in the pipeline for IPO issuance, Kutheli Bukhari Small Hydropower Limited is preparing to issue two lakh 43 thousand 735 shares worth Rs. 2,43,73,500.
Similarly, Sanima Middle Tamor Hydropower Company has applied in Sebon for the issuance of 83 lakh 31 thousand 250 shares worth Rs. 83,31,25,000. Similarly, 840 thousand shares of Rawa Energy worth Rs 8 crore 40 lakhs, and 11 lakh 58 thousand 980 shares of Trade Tower worth Rs 11 crore 58 lakh 98 thousand are in the pipeline for issuance.
According to the board, Upper Sange Hydropower is about to issue 870 thousand shares worth Rs. 8 crores 70 lakh. Similarly, Dolti Power Company has applied to the board for the issuance of 16 lakh 9 thousand 458 shares worth 16 crores 9 lakh 45 thousand eight hundred rupees.
Similarly, Sagarmatha Hydropower Company has sought permission from the board to issue 54 lakh 88 thousand IPO worth Rs. 54 crores 88 lakh. Similarly, Mykhola Hydropower has requested permission for the ordinary share issue of 19 lakh 21 thousand shares worth Rs.19 crore 21 thousand.
Three Star Hydropower Limited 12 lakh 31 thousand 250 shares worth Rs. 12 crores 31 lakh 25 thousand, Maya Khola Hydropower Company issued 34 lakh shares worth Rs 34 crore, Bhugol Energy Development issued 16 lakh 32 thousand 160 shares worth Rs 16 crore 32 lakh 16 thousand are in the pipeline for issuance.
According to the board, Ingwa Hydropower Company has 18 lakh shares worth 18 crore rupees, Supermadi Hydropower Company has 31 lakh 50 thousand shares worth 31 crores 50 lakh rupees and Makar Jitumaya Shuru Hydropower has 22 lakh 80 thousand shares worth 22 core 80 lakh in the pipeline for issuance.
Similarly, Supermai Hydropower Limited is preparing to issue 10 lakh shares worth 10 crore rupees, Molung Hydropower Company 35 lakh 31 thousand shares worth 35 crores 31 lakhs and Barahi Hydropower is preparing to issue 7 lakh shares worth 7 crore rupees.