KSBBL Preference Share Allotment: 9% Issue Overbooked by 1.9x

4th February 2026, Kathmandu

Kamana Sewa Bikas Bank Limited (KSBBL) has officially completed the allotment of its pioneering “KSBBL 9% Perpetual Non-Cumulative Preference Shares.”

KSBBL Preference Share Allotment

The allotment ceremony took place today, February 4, 2026 (Magh 21, 2082), at the premises of the issue manager, NIMB Ace Capital Limited, in Lazimpat, Kathmandu.

The issue received an overwhelming response from institutional investors, reflecting strong confidence in the bank’s financial health and the evolving Nepali capital market.

Key Highlights of the Allotment

The preference share issue was a landmark event for the Nepalese banking sector, specifically for development banks. Here are the core details:

Total Issue Size: NPR 350 Million (35 Crore).

Subscription Rate: Over 1.9 times oversubscribed, showing high investor demand.

Dividend Rate: A fixed 9% annual dividend (Non-Cumulative).

Type: Perpetual Non-Cumulative Preference Shares.

Target Audience: Institutional investors (excluding licensed securities dealers and mutual funds) via private placement.

A First for Nepal’s Development Banks

This issuance marks the first time a development bank in Nepal has introduced Perpetual Non-Cumulative Preference Shares. Unlike standard shares, these offer a fixed return and do not have a set maturity date (perpetual), providing the bank with a stable source of Tier 1 capital while offering investors a steady income stream.

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The subscription period for these shares ran from January 26 to January 29, 2026 (Magh 12 to Magh 15, 2082).

Acknowledgments and Future Outlook

In a formal statement, the KSBBL family and the issue manager, NIMB Ace Capital Limited, expressed their gratitude to the following entities for their support:

• Office of the Company Registrar

• Nepal Rastra Bank (NRB)

• Securities Board of Nepal (SEBON)

• Nepal Stock Exchange (NEPSE)

• CDS and Clearing Limited

“The 1.9x oversubscription reflects the high level of trust and attraction investors have toward the Nepali financial sector and Kamana Sewa Bikas Bank’s strategic direction.”

The successful allotment of these shares is expected to strengthen the bank’s capital base, allowing for further expansion and stability in its banking operations.

For more: KSBBL Preference Share Allotment