In the initial public offering (IPO) of Nepal Infrastructure Bank (NIFRA) opened last Friday, the company has received applications for almost two and a half times more shares than demanded. Ram Mahat, head of merchant banking at NIBL S Capital, said that more than 1.5 million applications were received for shares of Nifra in the five days from January 2 to 6. According to him, about 18 billion rupees worth of shares have been applied from these applicants. This is the largest amount of IPO application of any company. “Currently, the CDSC system has been down and we have not been able to see the exact details. But so far more than 1.5 million applications have been received.
The amount is around Rs 18 billion, ”said Mahat. This figure is up to the pre-determined deadline (5 pm) for opening the share application. CDS & Clearing Limited has extended the time to fill up the shares by one hour due to a problem in the system of MyShare. Earlier, in the IPO of Chandragiri Hills, the highest number of applications was received for 1.441 million shares worth 2.4474 million shares worth Rs 2.44 billion. Earlier, about 1.5 million applications were received for the primary share issue of Prabhu Life Insurance. The average of 1.5 million applications (for 180 million shares) for ordinary shares of NIFRA is the highest in any company’s IPO in Nepal. This IPO opened by NIFRA is still the largest in Nepal in terms of both amount and unit. Nifra had brought an IPO of 80 million lots at a time when those who invest in ordinary shares are considering a lottery ticket even after 10 lots. NIFRA has made an initial public offering (IPO) of ordinary shares worth Rs 8 billion. Of this, 160,000 units have been set aside for bank employees and 400,000 units for mutual funds.
The remaining 75.84 million shares have been demanded in the name of the public. All its shares had been subscribed on the second day of opening the application. On the third day, as applications for shares worth more than Rs 10 billion were received, as expected by the capital market investors, not everyone would get 70 to 100 shares. With more than 1.5 million applications received before the one-hour extension due to a malfunction in the system, it is now seen that the applicant will get a maximum of 40 to 50 lots of Nifra shares. However, we should not be disappointed as all the applicants will get their shares.volume_upcontent_copysharestar_border