IPO of Swabhimaan Laghubitta Bittiya Santha is open from today; Detailed information of the company with future projection

Fri, May 10, 2019 12:58 PM on Exclusive, IPO/FPO News, Latest, Stock Market,

Company profile

Swabhimaan Laghubitta Bittiya Sanstha was established on Bhadra 01, 2073 under Company Act 2063 and Bank and Financial Institutions, 2073 as a microfinance company operating in 10 districts. Its registered office is located at Lumbini zone, Rupandehi District, Tilotama – 05 and the districts of operation are:

  1. Rupandehi
  2. Gulmi
  3. Rolpa
  4. Salyan
  5. Syanga
  6. Palpa
  7. Arghakachi
  8. Nawalparasi
  9. Kapilvastu
  10. Pyuthan

It has posted a net profit of Rs 1.44 crore in the third quarter of the fiscal year 2075/2076. The company has shown very good progress in the third quarter of the current fiscal year compared to the same quarter of FY 2074/2075. The company's paid-up capital stands at Rs 4.20 crore and its reserve has increased from negative Rs 65.14 lakhs in Q3 of FY 2074/2075 to positive Rs 1.17 crore in the Q3 of FY 2075/76.

Objective of the issue

About the issue

Swabhimaan Laghubitta Bittiya Sanstha Limited is issuing 1,98,610 units ordinary shares worth Rs 1.98 crore to the general public from Baisakh 27, 2076. The early closing date of this IPO issue is on Baisakh 31, 2076 and if the issue is not subscribed till Baisakh 31 then this issue can be extended up to Jestha 26, 2076.

Out of the offered 1,98,610 units; 3,093 units (0.5% of issued capital) have been kept for the employees of the company and 9,930 units (5% of total units allocated for the general public) have been kept for the mutual funds. The remaining 1,85,587 units are for the general public.

Applications can be placed for a minimum of 10 units and a maximum of 5000 units. The application can be placed from the financial institutions providing C-ASBA facility or through Meroshare.

Siddhartha Capital Limited has been appointed as the issue manager for the IPO issuance.

After the IPO is issued, the paid up capital of the Rupandehi based microfinance company will be Rs.6.18 Crore.

Capital structure

Shareholding composition

Promoter shareholders

Board of directors

Management team

Credit Rating

According to the prevailing credit rating regulations, given the size of issue the rating is not necessary.

Financial performance

(Source: Company prospectus)