Underwriters of Nepal Bank's FPO are slammed by SEBON: Warned all the Merchant Bankers to not to commit mistakes in future

Mon, Oct 22, 2018 2:48 PM on Latest, Stock Market,

SEBON has issued a letter against eight merchant bankers of Nepal Bank's FPO underwriter. The Nepal Bank has issued 1.76 crore FPO in the month of Ashadh .The FPO was undersubscribed by more than 46% and more than 88 lakhs unit of FPO shares remain unsold. The underwriters had bought the remaining 88 lakhs unit shares of FPO.

SEBON has said that the underwriters are supposed to sell their stake after the stock get into the DEMAT account. However, the underwriters had sold their stake beforehand. The SEBON has warned all the underwriters to not to repeat the mistake in the future. The notice of the same is given below.