Bids for auctioned shares of NEPSE by NRB opened today; Around 7 lakh unit shares unsubscribed

Nepal Rastra Bank (NRB) had opened an auction for 17.29 lakh units shares of Nepal Stock Exchange (NEPSE) in order to divest its ownership in NEPSE.

NEPSE's paid-up capital stands at Rs 50 crore of which 58.66% was invested by Government of Nepal, 34.60% by NRB, 6.12% by NIDC and 0.62% by the brokers. NRB is divesting its 34.60% ownership.

The minimum bid amout was set at Rs 1,032 which is at a premium of Rs 932. The auction opened from Ashad 31 till Bhadra 02, 2076.

The sealed bids were opened today at NRB. Since the final result isn't out yet, the cutoff and maximum bid amount isn't made public. However according to the preliminary report, the issue hasn't been fully subscribed.

Three institutions namely Employee Provident Fund (EPF), Laxmi Bank (LBL) and Prabhu Bank (PRVU) have submitted bids for the auction. They have applied for around 20% of the shares. Regarding the other 14.6%, the board of NRB will hold a meeting and decide accordingly.