Laxmi Equity Fund allotment of Rs 1.25 arba concludes; Small & Big Investors allotted 100% & 58% respectively; No lottery

Laxmi Equity Fund has concluded its public issue allotment today at Laxmi Capital Market Limited, New Baneshwor, Kathmandu. Although the issue was for 10 crore units worth Rs 1 arba, the fund size was increased by 25% as per SEBON guidelines, since it was oversubscribed by 1.59 times. Now, the total fund size becomes Rs 1.25 arba; 12.50 crore units of Rs 10 face value each. Investors who applied up to Rs. 50,000 or 5,000 units (small investors) were allotted 100% of the units applied whereas investors who applied for more than Rs. 50,000 (big investors) got 58% of the applied units on pro-rata basis. Out of 9530 applicants, all of them got the shares. There were no invalid applicants. Of the total shares floated, 15% was allotted aside for Laxmi Bank Limited and Laxmi Capital Markets Limited. The remaining 85% shares were allotted to the general public. Laxmi Equity Fund is a closed-end 7-years equity oriented mutual fund scheme with fund size of Rs 1.25 arba. The mutual fund is managed by Laxmi Capital Market Limited and Laxmi Bank Limited is its fund sponsor. Interested people were required to apply for a minimum of 100 units of share and they could apply for up to 1 crore units of shares. Laxmi Capital already has its first mutual fund scheme Laxmi Value Fund – 1 (LVF1)listed in NEPSE. Currently, there are 10 mutual fund schemes already in the market.