Six new companies join SEBON's IPO pipeline, seeking Rs 2.78 billion

Six new companies from different sectors have recently been added to the IPO pipeline of the Securities Board of Nepal (SEBON). With the aim of raising funds from the capital market, these companies have filed applications with the board seeking approval to issue their initial public offerings. Together, the six firms are moving ahead with the issuance of 27,834,531 units of shares worth a combined Rs 2,783,453,100 — about Rs 2.78 billion.

The new entrants comprise two hydropower companies — Super Hewa Power Company Limited and Raghuganga Hydropower Limited — and four manufacturing and processing companies: Rajesh Metal Crafts Limited, Annapurna Machha Dana Udhyog Limited, Yuwarani Agro Industries Limited and Premier Distillery Limited.

Manufacturing and processing companies

Rajesh Metal Crafts Limited applied on Jestha 7, 2083 to issue 6,000,000 units worth Rs 600 million to locals and the general public, with Nabil Investment Banking Limited as the issue manager. On the same day, Annapurna Machha Dana Udhyog Limited registered its application through Laxmi Sunrise Capital Limited for 1,009,531 units worth Rs 100,953,100. Yuwarani Agro Industries Limited also filed on Jestha 7, appointing Prabhu Capital Limited as issue manager to issue 1,650,000 units worth Rs 165 million to the general public only. Likewise, Premier Distillery Limited applied through Siddhartha Capital Limited on Jestha 8 to issue 2,250,000 units worth Rs 225 million.

Hydropower companies

In the hydropower sector, Super Hewa Power Company Limited applied on Jestha 7 through Laxmi Sunrise Capital Limited to issue 1,925,000 units worth Rs 192.5 million to locals and the general public. Raghuganga Hydropower Limited filed on Jestha 8, appointing NIC Asia Capital as issue and sales manager, to issue 15,000,000 units worth Rs 1.5 billion — the largest proposed issuance among the six companies.

What happens next

All six companies are currently at the preliminary review stage of SEBON's "application with compliance report" process. Once they receive final approval from the board, the companies will begin the process of opening their shares for public issuance and sale.

Detailed application table

Note: All companies have a par value of Rs 100 per unit. All six applications are currently at the preliminary review stage of the "application with compliance report" process. Among the hydropower firms, Super Hewa Power has a commercial operation date (COD) of 2082/01/01 BS. Source: Securities Board of Nepal (SEBON) — IPO application list, dated 2083/02/22 BS.