10 Companies floating right shares worth Rs 14 arba; 23 companies in pipeline to issue Rs 11.92 arba worth right shares

- ShareSansar, May 5, 2017  on Dividend, Right & Bonus , Exclusive , Featured , Latest , Stock Market

In the last 2 months, Securities Board of Nepal (SEBON) has provided approval to 24 companies issue their right shares. As the deadline to meet the paid up capital requirement is coming near, SEBON has also been providing approval to BFIs sooner. For example, Garima Bikas Bank’s right share application was approved in 10 days. Jyoti Bikas Bank also got approval quicker than many commercial banks.

Last year, SEBON had renounced the requirement for major BFIs to undergo credit rating, due to which the BFIs have been getting approval sooner to meet NRB’s paid up capital requirement before the end of FY 2073/74. Now, there are additional 23 companies worth Rs 11.92 arba added in SEBON right share pipeline for approval.

This increased supply in right shares is an opportunity for the shareholders to purchase additional new shares of the companies at par value of Rs 100. On the other hand, this has created increased pressures in existing shareholders to gather money for applying for the right offers.

Altogether, 11 companies have been issuing right shares to their shareholders currently. Laxmi Bank Limited (LBL), Nepal Bank Limited (NBL), Citizens Bank International Limited (CZBIL), Nepal Bangladesh Bank Limited (NBB), Sanima Bank Limited (SANIMA), Prabhu Insurance Company Limited (PRIN), Siddhartha Development Bank Limited (SDBL), Tourism Development Bank (TDBL), Garima Bikas Bank (GBBL) and Deprosc Development Bank Limited (DDBL) have been issuing right shares to their shareholders.

Among these BFIs, Tourism, Deprosc and Laxmi are floating 1:1 (100%) right share to its shareholders. A total of 3.8 crore units right share worth Rs 3.80 arba are open.

Ongoing right shares:

S.NoSymbolRatioUnitsOpening DateClosing DateBook ClosureIssue Manager
1CZBIL10:2.513,843,3792017-04-062017-05-102017-03-09Sanima Capital Limited.
2DDBL1:12,579,2382017-03-202017-05-082017-02-13Nabil Investment Banking Limited.
3GBBL10:79,076,2972017-04-272017-05-312017-04-12Ace Capital Limited
4LBL1:131,590,3032017-04-162017-05-212017-03-31Siddhartha Capital Limited
5NBB10:832,094,0692017-04-202017-05-242017-03-30Global IME Capital Limited
6NBL40:23.715,431,8402017-04-202017-05-242017-04-11Civil Capital Market Limited
7SANIMA10:0315,917,6172017-04-302017-06-042017-03-31CBIL Capital Limited.
8SDBL10:068,515,0062017-04-202017-05-242017-04-09Nabil Investment Banking Limited
9TDBL1:19,197,7122017-03-262017-05-092017-03-10NIBL Capital Market Limited
10TNBL10:3.51,194,7962017-05-022017-06-052017-04-19Siddhartha Capital Limited

Siddhartha Insurance Company Limited (SIL), Jyoti Bikas Bank Limited (JBBL), First Microfinance Development Bank Limited (FMDBL), Sahayogi Bikas Bank Limited (SBBLJ), Gurkhas Finance Limited (GUFL), Nepal SBI Bank Limited (SBI) and Hamro Bikas Bank Limited (HAMRO) have already published their offer letters but still few days are left for the right share opening. Hamro Bikas Bank will be issuing 200% right share, Jyoti Bikas Bank will be issuing 100% right share to its shareholder and First Microfinance will be floating 50% right share.

S.NoSymbolRatioUnitsOpening DateClosing DateBook Closure DateIssue Manager
1SIL5.2:1862,1252017-05-112017-06-142017-04-28Laxmi Capital Market Limited.
2JBBL1:111,043,1712017-05-112017-06-142017-04-27Siddhartha Capital Limited
3FMDBL2:11,322,5002017-05-112017-06-142017-04-12Global IME Capital Limited
4SBBLJ10:03.53,146,1012017-05-152017-06-192017-04-28NCM Merchant Banking Limited.
5GUFL2:12,893,3132017-05-152017-06-192017-05-03NIBL Capital Markets Limited.
6SBI10:0419,919,4242017-05-212017-06-252017-05-09NMB Capital Limited.
7HAMRO1:23,058,3392017-05-212017-06-252017-04-24NIBL Capital Markets Limited.

Recently, Sunrise Bank Limited (SRBL), NB Insurance Company Limited (NBIL), Mirmire Microfinance Development Bank Limited (MMFDBL) and Lalitpur Finance Limited (LFC) have been approved by SEBON for the issuance of right shares. But these companies have not issued offer letter till date.

S.NoSymbolRatioUnitsIssue Manager
1SRBL10:316,359,636Prabhu Capital Limited.
2NBIL1:12,700,000Global IME Capital Limited.
3MMFDB2:1150,000Prabhu Capital Ltd.
4LFC1:11,879,454Global IME Capital Limited.
5GFCL10:62,722,500NIBL Capital Market Limited