Kathmandu- Palpa Cement Industries Limited has opened the sale of its initial public offering (IPO) from today, Poush 25, targeting project-affected local residents and Nepali citizens working abroad with valid labour permits.
Read this:-Palpa Cement IPO Sparks Protest Over Exclusion of Locals, Devdaha Municipality Writes to Company
The company received approval from the Securities and Exchange Board of Nepal (SEBON) on Poush 9 to issue a total of 7.5 million ordinary shares at a face value of Rs 100 per share.
Under the first phase of issuance, Palpa Cement Industries has floated 1.875 million shares for project-affected local residents and 562,500 shares for Nepalis employed abroad.
According to the company, local residents of West Nawalparasi (former Nawalparasi district) and Palpa district, where the limestone mine and project are located, are eligible to apply under the project-affected category.
Both project-affected locals and Nepalis working abroad can apply for a minimum of 10 shares and a maximum of 100,000 shares.
For Nepalis employed abroad, applications can be submitted until May 30, while project-affected locals can apply until Magh 9.
Nabil Investment Banking Limited has been appointed as the issue and sales manager for the IPO.
Meanwhile, Infomerics Credit Rating Nepal Limited has assigned the company a ‘Double B Plus (BB+) Issuer Rating’, indicating a moderate level of risk regarding the company’s ability to meet its financial obligations on time.
The remaining shares of the IPO will be issued to the general public in subsequent phases, as per regulatory provisions.
