There is good news for IPO applicants, a large number of IPOs are being issued soon. The Nepal Securities Board (NSB) has informed that 44.47 million shares worth Rs 4.45 billion are in the pipeline for IPO. Currently, 16 companies have applied to the board for IPO Issuance. You will see the list below the upcoming IPO of 16 companies in Nepal.
Upcoming IPO of 16 companies in Nepal
According to the Securities and Exchange Board, out of 16 companies, 11 are hydropower companies, two are insurance companies, one is a merchant bank and two other companies. The Securities and Exchange Board of Nepal has set criteria for the companies to issue IPO. After fulfilling these criteria, they will be allowed to issue IPO ( Ordinary shares).
There are two non-life insurance companies in the pipeline of IPO. General Insurance Company and Sanima General Insurance are preparing for IPO. Similarly, companies including Chandragiri Hills and Dish Home Network are also in the process of issuing IPO. CBIL Capital Limited is also bringing 300,000 ordinary IPO shares for public. All these companies have applied to the Securities and Exchange Board for issuance of ordinary share IPO.
Similarly, 11 hydropower companies are preparing to issue IPOs for locals and the general public. Malung Khola Hydropower Company, Singti Hydro Energy, Ruru Hydropower Company, Himalayan Hydropower, Bidhyabasini Hydropower, Shubham Power, Emerging Nepal Limited, CEDB Hydropower Development co. ltd, Tehrathum Power Company, Greenlife Hydropower, Madhya Bhotekoshi Jalavidhyut Co. Ltd are preparing for IPO.
The largest IPO of the hydropower is that of Bhotekoshi Hydropower Company. The company has applied to the board for the issuance of 15 million shares worth Rs 1.5 billion.
Upcoming Insurance Companies – IPO
|Insurance Company IPO||KIttas||Amount|
|General Insurance Company||30,00,000||30,00,00,000|
|Sanima General Insurance||30,00,000||30,00,00,000|
Upcoming Companies – IPO
|Chandragiri Hills Limited||18,40,910||18,40,91,000|
|Dishome Media Network||23,85,929||23,85,92,900|
|CBIL Capital Limited||3,00,000||3,00,00,000|
Upcoming Hydropower Companies – IPO
|Upcoming Hydropower IPO||Kittas||Amount|
|Malung Khola Hydropower Company||7,36,000||7.36,00,000|
|Singti Hydro Energy||43,50,000||43,50,00,000|
|Ruru Hydropower Company||8,15,411||8,15,41,100|
|Emerging Nepal Limited||5,00,000||5,00,00,000|
|CEDB Hydropower Development co. ltd||25,18,230||25,18,23,000|
|Tehrathum Power Company||12,00,000||12,00,00,000|
|Madhya Bhotekoshi Jalavidhyut Co. Ltd||1,50,00,000||1,50,00,00,000|
What is IPO meaning
An IPO stands for Initial Public Offering. IPO (Initial Public Offering) is a process of transforming a private company into a public company by issuing shares to the public. IPO issuance is done after SECURITIES BOARD OF NEPAL approval. After IPO, Private companies can raise capital for company expansion and transform to a public company, in return for the investment, the public gets shares of the company. IPO can be applied online through Mero Share and another way is to go to bank and apply by filling the application form.
Such public companies are listed on the stock market and traded publicly. In the Nepal context, after IPO public companies are listed in NEPSE ( Nepal Stock Exchange). It is an only Stock Exchange available in Nepal, where all the public companies listed and traded daily. Till today, 264 companies are listed in Nepal Stock Exchange. Anyone can trade listed companies shares in the secondary market and the price fluctuates daily.
The Securities Board of Nepal has set the Policy and regulation For IPO allotment. When issuing an IPO, there is a provision that 5% for the employees, 5% for the investment funds and all the remaining shares to be sold to the public. The IPO allotment process is completed accordingly. The Securities and Exchange Board has the rule to distribute minimum 10 kittas shares per person. Such a rule has been brought for the general public to participate in the IPO.
Two dates are set when opening an IPO. If not all IPOs have been sold on the previous date, it will be opened till late date. SEBON has a policy for the IPO allotment if the IPO applicants are oversubscribed, IPO allotment should be done by lucky draw and distribute a minimum of 10 kittas each. But if Applicants are not oversubscribed then IPO shares should be allotted as the applicant demanded as possible.
How to check IPO result
If you have applied for IPO and searching for the result? There are many mediums to check IPO results. IPO result publishes in multiple websites, which belongs to the Share market. Stock websites in Nepal have been providing IPO results. You can also view the result by visiting the website of the respective Capital.
Here are the names of the websites that publish IPO results in Nepal.