Upcoming IPOs in Nepal 2023
In the past few years, there has been a significant increase in the number of Initial Public Offerings (IPOs) in Nepal. The country’s capital market has seen a surge in IPO activity, with a number of companies opting to go public to raise funds for expansion and growth.
In 2017, the Nepal Stock Exchange (Nepse) witnessed the highest number of IPOs in its history, with a total of 13 companies going public. This included companies from various sectors such as hydroelectricity, finance, and cement. The IPO of Nepal Hydro Developers Limited, a hydroelectricity company, was the largest in the country’s history, raising a total of NPR 2.17 billion.
In 2018, the number of IPOs decreased slightly, with nine companies going public. However, the total amount raised through these IPOs was NPR 9.44 billion, which was a significant increase from the previous year. The IPO of Nepal SBI Bank Limited, a joint venture between the Nepal government and the State Bank of India, was the largest of the year, raising NPR 4.13 billion.
2019 saw a further decrease in the number of IPOs, with only six companies going public. However, the total amount raised through these IPOs was NPR 8.87 billion, which was still a significant increase from the previous year. The IPO of Standard Chartered Bank Nepal Limited, a joint venture between Standard Chartered Bank and the International Finance Corporation, was the largest of the year, raising NPR 3.35 billion. The year 2020 has been successful in the history of IPOs in Nepal which saw a major surge in IPO publishing and listing.
Overall, the past few years have seen a significant increase in IPO activity in Nepal, with a number of companies opting to go public to raise funds for expansion and growth. The hydroelectricity, finance, and cement sectors have been particularly active in the IPO market. However, the number of IPOs has decreased slightly in the past two years (2021 and 2022), with the total amount raised through these IPOs remaining relatively consistent.
Upcoming IPOs in 2023 With Date
Several adorable companies and technology start-ups plan to go public this year. The following is a list of upcoming IPOs in 2023 with date:
S.N. | Company | Issue Size | Issue Manager | IPO Date |
1 | Aatmanirbhar Laghubitta Bittiya Sanstha Ltd. | 203,380 | Sunrise Capital Ltd. | 2023 |
2 | Asian Hydropower Ltd. | 1,180,000 | NMB Capital | 2023 |
3 | Bhagwati Hydropower Development Co. Ltd | 1,430,162 | Siddhartha Capital Ltd | 2023 |
4 | Bhugol Energy Development Co. Ltd. | 1,632,160 | NIC Asia Capital Ltd. | 2023 |
5 | BPW Laghubitta Bittiya Sanstha Ltd. | 97,000 | Mega Capital Markets Ltd. | 2023 |
6 | Chirkhuwa Hydro Power Ltd | 1,200,000 | RBB Merchant Banking Ltd. | 2023 |
7 | City Hotel Ltd. | 1,674,000 | Global IME Capital Ltd. | 2023 |
8 | Dish Media Network Ltd. | 2,385,929 | Global IME Capital Ltd. | 2023 |
9 | Dolti Power Company Ltd. | 1,609,458 | Nic Asia Capital Ltd. | 2023 |
10 | Ghorahi Cement Industry Ltd. | 7,943,801 | Himalayan Capital Ltd | 2023 |
11 | Hathway Investment Nepal Ltd. | 2,925,000 | Global IME Capital Ltd. | 2023 |
12 | IME Life Insurance Co Ltd. | 6,000,000 | Civil Capital Market Ltd. | 2023 |
13 | Ingwa Hydropower Ltd | 1,800,000 | Nepal SBI Merchant Banking Ltd. | 2023 |
14 | Kalinchowk Darshan Ltd. | 1,200,000 | Nabil Investment Banking Ltd. | 2023 |
15 | Kisan Laghubitta Bittiya Sanstha | 1,298,259 | Muktinath Capital | 2023 |
16 | Kutheli Bukhari Small Hydropower Ltd | 243,735 | NMB Capital Ltd | 2023 |
17 | Mai khola Hydropower Ltd. | 1,921,568 | Prabhu Capital Ltd. | 2023 |
18 | Makar Jitumaya Suri Hydropower Company Ltd. | 2,280,000 | Prabhu Capital Ltd | 2023 |
19 | Maya Khola Hydropower Co. Ltd. | 3,400,000 | Prabhu Capital Ltd | 2023 |
20 | Menchhiyam Hydropower Ltd | 1,627,750 | NIBL Ace Capital Ltd | 2023 |
21 | Mirmire Laghubitta Bittiya Sanstha Ltd. | 51,316 | Nepal SBI Merchant | 2023 |
22 | Modi Energy Limited | 7,250,000 | Sunrise Capital Ltd. | 2023 |
23 | Molung Hydropower Company Ltd. | 3,531,000 | Sunrise Capital Ltd. | 2023 |
24 | Muktinath Krishi Company Ltd. | 400,000 | Mega Capital Markets Ltd. | 2023 |
25 | Naya Sarathi Laghubitta Bittiya Sanstha Ltd. | 329,649 | NMB Capital Ltd. | 2023 |
26 | Nepal Republic Media Limited | 4,353,000 | Mega Capital Markets Ltd. | 2023 |
27 | Rawa Energy Development Ltd. | 840,000 | Prabhu Capital Ltd. | 2023 |
28 | Reliable Life Insurance Ltd. | 6,000,000 | Civil Capital Market Ltd | 2023 |
29 | Reliance Spinning Mills Ltd. | 770,640 | Global IME Capital Ltd. | 2023 |
30 | Sagarmatha Jalbidhyut Company Ltd. | 5,488,000 | Prabhu Capital Ltd. | 2023 |
31 | Samata Gharelu Laghubitta Bittiya Sanstha Ltd | 289,440 | RBB Merchant Banking | 2023 |
32 | Sanima Middle Tamor Hydropower Ltd. | 8,331,250 | Sanima Capital Ltd | 2023 |
33 | Sarbottam Cement Ltd. | 2,400,000 | Global IME Capital Ltd. | 2023 |
34 | Shuvam Power Ltd. | 580,580 | Muktinath Capital Ltd. | 2023 |
35 | Sonapur Minerals and Oil Ltd | 12,300,200 | NIBL Ace Capital Ltd | 2023 |
36 | Super Madi Hydropower Ltd. | 3,150,000 | Sanima Capital Ltd. | 2023 |
37 | Supermai Hydropower Ltd . | 1,000,000 | Sanima Capital Ltd | 2023 |
38 | Three Star Hydropower Ltd. | 1,231,250 | Himalayan Capital Ltd. | 2023 |
39 | Trade Tower Ltd. | 1,158,980 | Laxmi Capital Market Ltd. | 2023 |
40 | Unique Nepal Laghubitta Bittiya Sanstha Ltd. | 379,425 | Muktinath Capital | 2023 |
41 | Unnati Sahakarya Laghubitta Bittiya Sanstha | 178,451 | Siddhartha Capital | 2023 |
42 | Upper Lohare Hydropower Company Ltd | 2,498,040 | NIC Asia Capital Ltd. | 2023 |
43 | Upper Syange Hydropower Ltd. | 870,000 | Siddhartha Capital Ltd. | 2023 |
Approved Initial Public Offerings (IPOs) in Nepal 2023 (2079 BS)
Approved Initial Public Offerings (IPOs) are those that have received approval to go public from the relevant regulatory authorities. SEBON is the regulatory authority in Nepal that approves IPOs. An initial public offering (IPO) is the process by which a privately held company becomes publicly traded, allowing it to raise funds by selling shares to the general public.
To go public via an IPO, a company must first file a prospectus with regulatory authorities outlining the terms of the offering and providing financial and operational information about the company. The prospectus will be reviewed by regulatory authorities before the IPO is approved.
Approved IPOs are typically regarded as lower-risk investments because regulatory authorities have reviewed the prospectus and determined that the company is financially stable and ready to go public. However, before investing in an IPO, investors should conduct their own due diligence. The following are some upcoming IPOs in Nepal in 2023 that have already been approved by the Security Board of Nepal:
S.N | Company Name | Units | Issue Manager | Date |
1 | Asian Hydropower Limited | 1,180,000 Units | NMB Capital Ltd. | 2023 |
2 | Barahi Hydropower | 700,000 Units | NIBL Ace Capital | 2023 |
3 | Khaptad Laghubitta Bittiya Sanstha Ltd | 132,000 Units | Prabhu Capital Ltd | 2023 |
4 | Maya Khola Hydropower | 3,400,000 Units | Prabhu Capital Ltd. | 2023 |
5 | Shuvam Power Limited | 580,580 Units | Muktinath Capital Ltd. | 2023 |
6 | Super Madi Hydropower | 3,150,000 Units | Sanima Capital Ltd. | 2023 |
What do you mean by Initial Public Offering (IPO)?
An Initial Public Offering (IPO) is the process by which a privately-held company becomes publicly traded, allowing the company to raise funds by selling shares to the public. The IPO process involves the company issuing new shares to the public and listing them on a stock exchange, such as the Nepal Stock Exchange (Nepse).
The main purpose of an IPO is to raise funds for the company. Companies may go public through an IPO in order to fund expansion, pay off debts, or finance acquisitions. Going public also allows the company to access a larger pool of capital, as it can sell shares to a wide range of investors, including institutional investors and retail investors.
The IPO process typically involves the company hiring an investment bank or financial institution to manage the sale of the shares. This includes setting the price of the shares, marketing the IPO to potential investors, and handling the legal and regulatory aspects of the offering.
What are Upcoming IPOs in Nepal?
Upcoming IPOs in Nepal refer to Initial Public Offerings (IPOs) that have been announced or are expected to be announced in the near future. An IPO is a process by which a privately-held company becomes publicly traded, allowing the company to raise funds by selling shares to the public. In Nepal, companies typically go public through an IPO in order to raise funds for expansion and growth.
Upcoming IPOs in Nepal can be found on the Nepal Stock Exchange (Nepse), and SEBON website, as well as on the websites of financial institutions and brokerages that are participating in the IPO. These websites typically provide information about the company going public, the number of shares being offered, the price per share, and the process for applying for the IPO.
How can one apply for upcoming IPOs in Nepal online?
To apply for an upcoming Initial Public Offering (IPO) online in Nepal, you will need to follow the following steps:
- Find the IPO you wish to apply for: You can find information about upcoming IPOs on the Nepal Stock Exchange (Nepse) website, as well as here on Marketrenovate.com.
- Choose a broker and open a Demat account: In order to apply for an IPO online, you will need to have an account with a brokerage firm that is participating in the IPO. You can choose a brokerage firm based on factors such as fees, reputation, and convenience. You also need to have a Demat account.
- Register for an online account: Once you’ve decided on a brokerage firm, you’ll need to open an online TMS account with them. This usually entails completing an online form and providing some personal and financial information.
- Fund your account: In order to apply for an IPO, you will need to have sufficient funds in your account. You can transfer funds to your account through a variety of methods, such as bank transfer, mobile banking, or debit or credit card.
- Wait for the IPO to open: After you have submitted your application, you will need to wait for the IPO to open. The IPO will open at a specific date and time, and you will be notified by financial websites as well as Mero Share when it is time to submit your application.
- Submit your application: Once the IPO is open, you will need to submit your application. When you have registered for an online account and funded it, you can submit your application for the IPO in Nepal through Mero Share’s online platform. This will typically involve selecting the number of shares you wish to purchase, as well as any other relevant details.
- Wait for the IPO to close: After you have submitted your application, you will need to wait for the IPO to close. The IPO will close at a specific date and time, and you will be notified by your Merohare – My ASBA section when it is time to submit your application.
- Wait for the allotment process: After the IPO has closed, you will need to wait for the allotment process to be completed. This involves the company determining how many shares each applicant will receive based on the demand for the shares.
- Receive your allotment: If your application is successful, you will receive your allotment of shares through your Mero Share account. You can then hold these shares or sell them on the stock market as you see fit.
How to sell IPOs in Nepal?
To sell Initial Public Offerings (IPOs) in Nepal, you will need to follow the following steps:
- Determine the IPO you wish to sell: If you have already invested in an IPO, you must decide which one you want to sell. Prices for the IPO can be found on the Nepal Stock Exchange (Nepse) website or on the website of the company that went public.
- Choose a broker: To sell an IPO, you must have an account with a brokerage firm that is listed on the NEPSE. Creating a brokerage account in Nepal as of now is free of charge.
- Sell the IPO through your brokerage: After you’ve decided on a brokerage firm, you can sell your IPO via their online platform or your personal TMS online account. This usually entails selecting the number of shares to sell and placing a sell order.
- Wait for the sell order to be executed: After placing a sell order, you must wait for the order to be executed. This will usually happen within a few minutes to a few hours, depending on market demand.
- Receive the proceeds: You will receive the sale proceeds in your account once the sell order is executed. The proceeds can then be invested in other opportunities or withdrawn as you see fit.
It is important to note that the value of an IPO can fluctuate depending on market conditions and the company’s performance. So, when you sell the IPO, you may receive more or less than the price you paid for it.
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