First Micro upcoming 1:1 right issues get Grade 3 rating from ICRA

Sharesansar, January 2:

ICRA Nepal has assigned “[ICRANP] IPO Grade 3”, indicating average fundamentals to the proposed 1:1 rights issue amounting NPR 100 million of First Microfinance Development Bank Limited.

The 5th AGM of First Microfinance has already approved the agenda to issue right share to its shareholders.

ICRA Nepal assigns IPO grading on a scale of IPO Grade 1 through IPO Grade 5, with Grade 1 indicating strong fundamentals and Grade 5 indicating poor fundamentals. For the Grading categories 2, 3 and 4, the sign of + (plus) appended to the Grading symbols indicate their relative position within the Grading categories concerned.

Thus, the Grading of 2+, 3+ and 4+ are one notch higher than 2, 3 and 4 respectively. FMDB is proposing to come out with rights issue of 1,000,000 numbers of equity shares of face value NRs 100/- each to be issued to the existing shareholders at par.