Kathmandu — Today (Poush 20) is the final day to apply for the Initial Public Offering (IPO) of Salpa Development Bank Limited, which has been open for subscription since Poush 16.

The bank opened the IPO for the general public after completing the allotment of shares reserved for Nepalis working abroad under foreign employment. The IPO is part of the bank’s plan to raise capital from the public to strengthen its financial base.

Salpa Development Bank has received approval to issue 17,23,880 shares, equivalent to 33 percent of its issued capital of NPR 522.39 million. The total value of the IPO stands at NPR 172.39 million.

Share Allocation Details

In the first phase, the bank had already allotted:

172,388 shares to Nepali citizens working abroad who have obtained labor approval from the Government of Nepal, and
86,194 shares to mutual funds.

For the second phase, the bank has reserved 26,119 shares for its employees. The remaining 1,439,179 shares, with a face value of NPR 100 per share, have been issued to the general public. Through this public issue, the bank aims to raise approximately NPR 143.91 million.

Application Range and Rating

Investors can apply for a minimum of 10 shares and a maximum of 25,000 shares.

For the IPO rating, Infomerics Credit Rating Nepal has assigned IRN Single B Issuer Rating to Salpa Development Bank. This rating indicates that the bank carries a high level of risk in meeting its financial obligations on time.

How to Apply

The issue and sales manager for the IPO is Muktinath Capital Limited. Interested investors can submit their applications through the C-ASBA system via banks and financial institutions approved by the Securities Board of Nepal.

Applications can also be submitted online through the ‘Mero Share’ platform developed by CDS and Clearing Limited.

With today being the last day, eligible investors are advised to complete their IPO applications within the trading hours to avoid missing the opportunity.