SEBON instructs issue managers of NLIC FPO and Forward Microfinance IPO to conclude allotment within 15 days

Securities Board of Nepal (SEBON) has instructed Siddhartha Capital Limited (issue manager for FPO of Nepal Life Insurance Co. Ltd) and Nabil Investment Banking Limited (issue manager for IPO of Forward Community Microfinance Bittiya Sanstha Ltd.) to conclude the allotment in the next 15 days. Issuing a press statement, SEBON has instructed the issue managers to conclude allotment within Falgun 13, 2073. Citing the acute shortage of liquidity in the financial market and its adverse effect on the stock market, SEBON said that this would help solve liquidity to an extent. As per existing provision, Nepal Life Insurance FPO should have been allotted within 60 days and Forward Community Microfinance IPO should have been allotted within 50 days. As per the new instruction, the allotment should conclude within 40 days and 30 days respectively. After the allotment, more than 3.70 lakh investors will be refunded more than Rs 55 arba, which should help solve the current liquidity shortage to an extent. The FPO of Nepal Life Insurance Co. Ltd. had been oversubscribed by over 11 times, while the IPO of Forward Community Microfinance was oversubscribed over 115 times. As per the data received by ShareSansar from respective issue managers, Nepal Life Insurance FPO has collected over Rs 52 arba while Forward Community IPO has collected more than Rs 6.20 arba.