The Securities Board of Nepal (SEBON) on Thursday, January 16, granted approval to two companies to issue initial public offerings (IPOs).
Crest Micro Life Insurance Limited has been authorized to issue 2.25 million units of ordinary shares worth Rs 225 million, while Om Megashree Pharmaceuticals received approval to issue 1.8 million units of shares valued at Rs 180 million. NIMB Ace Capital Limited will manage the IPO for Crest, and Prabhu Capital Limited will oversee Om Megashree's issuance.
Read: 80 Companies in Pipeline to Issue IPOs Worth Rs 49.5 billion
With this latest approval, SEBON has permitted IPOs worth Rs 855 million for four companies in the current fiscal year, 2024/25. Earlier, Guardian Micro Life Insurance Limited and Nepal Micro Insurance Company Limited had received approval to issue 2.25 million units of general shares each.
On Thursday, SEBON implemented the “Securities Issuance and Transactions Regulation for Small and Medium-Sized Enterprises, 2081.” This regulation establishes a dedicated platform to facilitate SME access to the capital market and attract investment. Under the regulation, companies listed on the SME platform can have a maximum paid-up capital of Rs 250 million post-IPO issuance.
The move seeks to address concerns over the current NEPSE structure, where businesses of varying sizes operate on the same trading platform.
