IPO of Mero Microfinance postponed due to long holidays; Most Likely to offer from Falgun 27
Mon, Feb 29, 2016 1:02 PM on Latest, Exclusive, IPO/FPO News, Featured,
Mero Microfinance Bittiya Sanstha Limited had scheduled to float its Initial Public Offering (IPO) of 6,12,000 unit shares worth Rs 6.12 crore from Falgun 20, 2072.The offer was to close on Falgun 27, 2072 at the earliest.
Niraj Giri, Spokesperson of Securities Board of Nepal (SEBON), has confirmed to ShareSansar that the SEBON has barred the company from issuing IPO as scheduled due to long holidays. Falgun 24-26 is public holidays to mark Maha Shivaratri, Womens Day and Galpo Lohsar respectively. SEBON guidelines prohibits companies from offering the public issue during publicholidays.
A highly placed source within Mero Microfinance told sharesansar that the public issue is likely to be offered from Falgun 27,2072. If true then, the issue will close on Chaitra 01, 2072 at the earliest.
The microfinance company has set aside 24,480 unit shares for its employees and 30,600 unit shares for the existing six mutual fund companies. The mutual fund schemes are Nabil balance fund-1, NMB Sulav Investment Fund – 1, NIBL Sambriddhi Fund – 1, Laxmi Value Fund -1, Siddhartha Equity Oriented Scheme, and Siddhartha Investment Growth Scheme- 1.
Global IME Capital Limited has been appointed as the issue manager for the IPO. Global IME Capital has posted notice in its office stating that it is unable to distribute IPO forms until further notice due to clarification sought by SEBON
The microfinance company plans to raise Rs 6.12 crore through the offer. After the IPO, the paid up will reach Rs 20 crore from the current Rs 13.88 crore. Its authorized capital stand at Rs 40 crore.
After the IPO, the promoter-public ratio of the company will be 69.40 % to 30. 60%.
MMFB has earned a net profit of Rs. 2.97 crore in the second quarter of the fiscal year 2072/73.Its EPS remains at Rs 42.83 and net worth per share at Rs 152.04.
ICRA Nepal has assigned an “[ICRANP] IPO Grade 4”, indicating below-average fundamentals to the proposed IPO amounting to NPR 61.20 million of Mero Microfinance Bittiya Sanstha Limited.
