Four Companies Seek SEBON Approval for IPOs: How Many Shares Will They Issue?
Four companies have applied to SEBON for approval to issue IPOs to the public.
Four companies have applied to the Securities Board of Nepal (SEBON) for approval to issue Initial Public Offerings (IPOs) to the general public.
The companies seeking approval are Madhyapur Hospital Limited, Indreni Mushroom Farm Limited, Makari Gad Hydropower Limited and Kalinchok Investment Company Limited. Together, they have proposed issuing 8.3025 million shares, equivalent to Rs. 830.25 million at a face value of Rs. 100 per share.
1. Madhyapur Hospital Limited
Madhyapur Hospital has applied to issue 2.8 million shares to the general public, equivalent to Rs. 280 million. The company submitted its IPO application to SEBON on Shrawan 22, 2083. Muktinath Capital Limited has been appointed as the issue manager.
2. Indreni Mushroom Farm Limited
Indreni Mushroom Farm has proposed issuing 875,000 shares, equivalent to Rs. 87.5 million. The company also submitted its application on Shrawan 22, 2083, with Muktinath Capital Limited serving as the issue manager.
3. Makari Gad Hydropower Limited
Makari Gad Hydropower has applied to issue 2,227,500 shares to local residents and the general public. The proposed issue is worth Rs. 222.75 million at a face value of Rs. 100 per share. The company applied to SEBON on Shrawan 22, with Sanima Capital Limited as the issue manager.
4. Kalinchok Investment Company Limited
Kalinchok Investment Company has sought approval to issue 2.4 million shares, equivalent to Rs. 240 million. The company submitted its application on Shrawan 29, 2083. Nabil Investment Banking Limited is the issue manager.
What happens next?
The four companies have only applied for IPO approval; their IPOs have not yet been approved by SEBON.
Being included in SEBON’s IPO pipeline does not guarantee approval. SEBON will review the companies’ financial, legal and regulatory documents before deciding whether to grant approval.
Only after receiving SEBON’s approval can the companies proceed with the public issuance of their shares. Investors should therefore wait for the official approval and IPO issuance notices before making investment decisions.