As the deadline to meet the paid up capital requirement is nearing, many companies are in the verge to issue right share. The main issue after the right share issuance will be to increase the business along with the increment of paid up capital.
Out of 11 companies, altogether 7 companies have been issuing right shares to its shareholders. They are Janata Bank Nepal Limited (JNBL), Seti Finance Limited (SETI), NMB Microfinance Company Limited (NMBMF), Nagbeli Microfinance Development Bank Limited (NBBL), Machhapuchchhre Bank Limited (MBL), Sewa Bikas Bank Limited and Western Development Bank Limited.
Among these BFIs, Seti Finance is floating the highest percentage of right share. It has been floating 1:1.5 (150%) right share to its shareholders. In terms of highest units of shares Machapuchchhre Bank has floated 1.93 crore units right share which is amassing huge money from its shareholders. A total of 3.79 crore units right share worth Rs 3.79 arba are being issued till date.
Following 7 companies’ right shares are being issued:
| S.No |
Symbol |
Ratio |
Units |
Opening Date |
Closing Date |
Issue Manager |
| 1 |
JBNL |
2:1 |
10,300,000 |
11/16/2016 |
12/20/2016 |
NCM Merchant Banking Limited |
| 2 |
SETI |
1:1.5 |
951,786 |
11/16/2016 |
12/20/2016 |
NIBL Capital Markets Limited |
| 3 |
NMBMF |
1:1.2 |
552,000 |
11/21/2016 |
12/25/2016 |
Laxmi Capital Market Limited |
| 4 |
NBBL |
2:1 |
125,000 |
12/5/2016 |
1/8/2017 |
NMB Capital Limited |
| 5 |
MBL |
2:1 |
19,322,700 |
12/4/2016 |
1/8/2017 |
Civil Capital Market Limited |
| 6 |
SEWA |
1:1.2 |
5,106,662 |
12/8/2016 |
1/11/2017 |
NMB Capital Limited |
| 7 |
WDBL |
1:1 |
1,569,600 |
12/7/2016 |
1/10/2017 |
Prabhu Capital Limited |
Likewise Namaste Bittiya Sanstha Limited (NBSL), Sagarmatha Finance Limited (SAFL), Kanchan Development Bank Limited (KADBL), and Saptakoshi Development Bank Limited (SKDBL) have already published offer letters. Few days are left for the right shares opening.
| S.No |
Symbol |
Ratio |
Units |
Opening Date |
Closing Date |
Issue Manager |
| 1 |
SKDBL |
1:1 |
1,000,000 |
1/8/2017 |
2/12/2017 |
NMB Capital Limited |
| 2 |
KADBL |
2:1 |
990,000 |
1/2/2017 |
2/5/2017 |
Global IME Capital Limited |
| 3 |
SAFL |
10:8 |
2,954,389 |
12/26/2016 |
1/30/2017 |
NIBL Capital Market Limited |
| 4 |
NBSL |
1:1 |
375,000 |
12/23/2016 |
1/26/2017 |
NMB Capital Limited |
Manjushree Finance Limited (MFIL) and Deva Bikas Bank Limited (DBBL) right share has been approved by Securities Board of Nepal (SEBON). However these companies have not issued offer letter yet. Manjushree Finance has already published book closure date for 1:1.75 (175%) right shares.
12 companies are in the process of seeking approval from SEBON and are in the right share pipeline to issue a total of 5.23 crore units’ worth Rs 5.23 arba right shares. Many companies have proposed for right share but are yet to apply in the Board.
Lalitpur Finance Company Limited, Neco Insurance Company Limited (NIL), Bhargav Bikas Bank Limited (BHBL), Sanima Mai Hydropower Limited (SHPC) and Deprosc Laghubitta Bikas Bank Limited will be issuing 100% right share each to its shareholders. Api Power Company’s 200% right share is awaiting for Board’s approval and Yeti Development Bank has recently added 50% right share .
