Sahara Bikas Bank to float IPO within Jestha; at least 1:1 right share in offing, too

ShareSansar, May 18:

Sahara Bikas Bank Limited will issue its Initial Public Offering (IPO) worth Rs 60 lakh within the month of Jestha.

The class ‘B’ development bank based in Malangwa of Sarlahi district had got the approval from the Securities Board of Nepal (SEBON) on April 16 to float the IPO.

“We will issue the IPO within the month of Jestha,” Sahara’s company secretary Ajit Kumar Jha told ShareSansar today.

Global IME Capital, the issue manager, informed that though the preparations were in the final stage for the IPO and that it has to be floated within Jestha, they have not been able to issue the offer letter due to some changes in the company structure.

“It is just a formality, which we intend to settle within a day or two,” the source with the issue manager added.

The development bank’s paid-up capital will rise to Rs 2 crore from the existing Rs 1.4 crore following the IPO.

The development bank has branches in Barahathawa, Bayalbas and Lalbandi of Sarlahi.
Sah further said that they are also planning to float at least 1:1 right share shortly after the IPO to further shore up the paid-up capital.

“Though the BoD and the shareholders are unanimous when it comes to 1:1 right share, we are also planning to push for 1:2 right share following the IPO to further increase the paid-up capital,” Jha said.