ICRA Nepal assigns Grade 4+ to upcoming 12.24 lakh units Rights Issue of Swarojgar Laghubitta; Rating indicates below-average fundamentals

ICRA Nepal Limited has assigned an [ICRANP] IPO Grade 4+ (Pronounced as ICRA NP IPO Grade Four Plus) to the Rs.12,24,97,760.00 Rights Issue of Swarojgar Laghubitta Bittiya Sanstha Limited. Instruments with this grading are considered to have below-average fundamentals. ICRA Nepal assigns grading on a scale of Grade 1 through 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) indicates their relative better position within the Grading categories concerned. IPO Grade is not a recommendation to buy, sell or hold securities nor it is a comment on the price or valuation of securities.

NMB Capital Limited has been appointed as the issue manager for the right issue.

The micro finance has paid up capital of Rs 10.49 crore with reserve of Rs 5.75 crore in Q1. It had announced 16.67% bonus shares from the net profit of FY 2073/74 and 100% right shares to its shareholders. After which its paid up capital will reach to Rs 24.47 crore.