Reliance Spinning Mills Offers IPO Shares to Foreign Nepalese Immigrants

Highlights:

• Reliance Spinning Mills, Nepal's largest spinning mill, has received approval from SEBON to issue an IPO of 1,155,960 shares.
• The IPO shares will be priced at Rs. 820.80 per share, with a minimum investment of Rs. 41,040 for 50 shares.
• The IPO will be issued in two phases:
  • Phase 1: Shares offered to foreign Nepalese immigrants from Ashadh 27 (July 11, 2024) to Shrawan 10 (July 25, 2024). This phase will not be extended.
  • Phase 2: IPO opened to the general public, including employees and mutual fund schemes.
• The IPO is being facilitated through the book-building method, with a cut-off price of Rs. 912 per share based on institutional investor demand.
• The general public will be offered shares at a 10% discount to the cut-off price, resulting in the final offer price of Rs. 820.80 per share.
• Reliance Spinning Mills is Nepal's largest spinning mill, with two factories in Sunsari district. It is a joint venture between the Golyan Group and the Maliram Shivkumar (MS) Group.
• The company is a major exporter, with annual exports exceeding $50 million.
• The IPO is expected to raise Rs. 94.88 crores for the company's expansion and modernization plans.