Forward Microfinance IPO oversubscribed by over 101 times; final data pending

Forward Community Microfinance Bittiya Sanstha Ltd. had floated 6,00,000 units IPO shares from Magh 9 to Magh 13, 2073. As per a preliminary data received, the IPO has collected more than Rs 5.50 arba. As per an official of Nabil Investment Banking, the issue manager for the IPO, the issue has collected over Rs 5.50 arba. Final data may vary after exact collection is known from all ASBA collection centers. As such, the IPO has been oversubscribed by over 101 times. The IPO had set aside 30,000 units for staffs and 30,000 units for mutual funds. 5,40,000 units shares have been allocated for the general public. This was the first IPO to accept applications from ASBA process, and interested investors could apply from 1,507 ASBA-approved branches all over Nepal. Although interested people could apply via ASBA branches, thousands of others have preferred to wait hours in line to submit via regular IPO forms. The paid up capital of the microfinance company stands at Rs 14 crore. After the IPO, its paid up will reach Rs 20 crore. The promoter-public shareholding structure after the IPO will be 70:30. Its issued and authorized capital stands at Rs 20 crore and Rs 40 crore respectively. Forward Community Microfinance Bittiya Sanstha Ltd. has earned net profit of Rs 6.15 crore in the first quarter of the FY 2073/74. It has a reserve of Rs 41.88 crore with net worth of Rs 350.60.