The IPO of Jeevan Bikas Laghubitta Bittiya Sanstha Ltd has been allotted on Wednesday. The IPO has been allotted in the office of sales manager NMB Capital.
Microfinance had sold 1,977,300 ordinary shares at the face value of Rs 100 per share from July 29 to July 31.Out of the total shares issued, 98,865 shares have been allotted for collective investment funds and the remaining 1.848 million shares have been distributed to the public.
The shares were distributed by round robin as there were more applications than demand.Five lots have emerged from the practice of 10-10 rounds. In other words, they have got IPO at the rate of 11 lots.
In this IPO, 1 lakh 84 thousand 801 people have acquired shares through round robin.Out of which 1 lakh 84 thousand 796 people have been given shares at the rate of 10 lots and 5 people at the rate of 11 lots.
The company has distributed 1.848 million shares to the public. A total of 2,087,317 people had applied for 312,999,340 shares in the stock. The shares were distributed by round robin as there were more applications than demand.
Accordingly, 1 lakh 84 thousand 801 people have received shares of microfinance at the rate of 10 lots, while 5 lucky people have received 11 lots of shares.
Of the 1,977,300 IPOs equal to Rs. 197.73 million allotted to the public, 30,420 units at the rate of 0.5 percent have been reserved for employees and 98,865 units at the rate of 5 percent have been reserved for collective investment funds. The issued capital of the company is Rs. 32.50 percent of the shares have been sold to the public.
The company has received permission from the regulatory body Nepal Securities Board to sell the IPO on June 12. The company had applied to the board for IPO issuance on March 3, 2010. The IPO sales manager is NMB Capital.
Jeevan Bikas Laghubitta financial Status :
Currently, the paid-up capital of the company alone is Rs. 41.67 million. After the IPO, this capital will be Rs. 608.4 million. After the IPO of the company, 67.50 percent of the shares will be owned by the founders and 32.50 percent by the general public including the employees.
By the third quarter of the current financial year, the company had earned Rs. It has made a net profit of Rs. 563.93 million. During this period, the reserve fund of the company was Rs. 1 billion 183.9 million 10 thousand.
By FY 076/77, the actual net worth per share of the company was Rs. 305.27 while the earnings per share stood at Rs. 104.97.
About Jeevan Bikas Laghubitta
The organization called Jeevan Vikas Samaj, which has been doing microfinance business from Fingo, was converted to microfinance as per the policy of the National Bank to convert Fingo into microfinance. The company is considered as the best company in the field of microfinance.
In the rating given by the company for IPO issuance, ICRA Nepal has given microfinance ‘ICRA NP Issuer Rating Triple B Minus’ rating.
This indicates that the company has moderate security and moderate credit risk in terms of timely fulfillment of financial obligations.
Expected Opening Range of Jeevan Bikas Laghubitta IPO IN secondary Market .
As Nepse sets a price of up to three times the net worth per share for the first transaction, the company charges Rs. Price range from Rs 305.27 to Rs 915.81 is expected.
ICRA Nepal Limited has given ICRA NP IR Triple B minus rating to this IPO which is about to be issued by the company.
How to view s Jeevan Bikas Laghubitta IPO result ?
As soon as the IPO results are made public, they can be viewed on the company’s website, the sales manager’s website, CDSC’s My Share and CDSC’s new website.