Matribhumi Laghubitta FPO Nepal: NPR 114 Million Further Public Offering

3rd May 2025, Kathmandu

Matribhumi Laghubitta Bittiya Sanstha Ltd. has taken steps to expand its financial base. The company has applied to the Nepal Securities Board (SEBON) for approval to issue a Further Public Offering (FPO).

Matribhumi Laghubitta FPO Nepal

The FPO will include 1,149,982.598 shares, each priced at NPR 100. The total proposed offering is valued at over NPR 114 million. This move is part of the institution’s effort to boost its capital and extend outreach.

Muktinath Capital Appointed to Manage Issue

To ensure a smooth FPO process, Muktinath Capital Ltd. will serve as the issue manager. The firm will coordinate all stages, including regulatory compliance, investor engagement, and share distribution.

This appointment reflects Matribhumi’s goal to maintain transparency and professionalism throughout the offering.

Origin from the Merger of Two MFIs

Matribhumi Laghubitta began operations following a strategic merger. Kisan Laghubitta Bittiya Sanstha and Jalpa Community Laghubitta joined forces to form the new entity. After the merger, the company started operating under the Matribhumi Laghubitta brand.

This consolidation helped reduce operational duplication. It also allowed the new company to pool resources and reach a broader client base.

Strengthening Rural Financial Access

Matribhumi serves rural communities where access to formal banking is limited. By issuing new public shares, the institution plans to expand its services. These include microloans, savings programs, and financial literacy initiatives.

The company focuses on low-income individuals, especially women and small entrepreneurs. This FPO will help fund additional programs and branch expansions.

Supporting Financial Inclusion

Microfinance plays a key role in Nepal’s inclusive banking ecosystem. Matribhumi’s FPO is a step forward in supporting this vision. The company aims to empower underserved populations through small-scale credit and savings services.

It also seeks to improve livelihoods by helping clients build businesses, manage income, and increase economic stability.

Awaiting Regulatory Approval

The FPO is subject to SEBON’s final approval. Once cleared, the company will publish a public prospectus and open the application process. Investors across Nepal will have an opportunity to purchase shares in a growing financial institution.

Market experts expect strong demand, given the sector’s rapid growth and the company’s track record.

Conclusion

Matribhumi Laghubitta’s plan to issue an FPO marks an important milestone in its journey. With a clear focus on financial inclusion, rural development, and responsible growth, the company is preparing to scale its services. As it awaits the green light from regulators, stakeholders remain optimistic about its future in Nepal’s evolving microfinance sector.

For more: Matribhumi Laghubitta FPO Nepal