NMB Bank sets new upper limit for the FPO issue; Investors can now apply for up to 50 lakh units

NMB Bank Limited (NMB) has published a notice regarding the new upper limit of its ongoing FPO issue.

As per the notice, the bank has set the new upper limit to 50 lakh units, i.e. the interested investors can apply up to 50 lakh units amounting Rs 1.665 arba now. Previously, the upper limit was set to 57,070 units amounting Rs 1, 90, 04,310 which was 0.5% of the total issue.

Recently the provision for the maximum limit to be applied for the IPO with premium issue and FPO issue has been changed by the Securities Board of Nepal (SEBON). Since the provision has already been implemented from Ashadh 4, 2075, the amendment in the provision is also applicable for the ongoing FPO issue of NMB. Hence, the maximum unit to be applied for the issue has been decided to be 50 lakh units amounting Rs 1.665 arba.

The FPO issue had started from Jestha 30, 2075. The bank is issuing 1,14,15,163 unit shares as further public offering to the general public at a price of Rs 333 per share.

The issue date has been extended till Ashadh 28, 2075. Institutional investors can apply for the FPO issue as the FPO is not fully subscribed by the general public. However, the general public can also apply along with the institutional investors.

ICRA Nepal has assigned Grade 3 rating to the issue indicating average fundamentals.

Citizen Investment Trust has been appointed as the issue manager for the FPO issuance.

After the capitalization of the FPO, paid-up capital will reach Rs 7.60 arba with 51 and 49 percentage shareholding of promoters and general public respectively. The bank will be short by Rs 40 crore to meet the capital requirement of Rs 8 arba.