Matribhumi Bikas Bank IPO public share issue from November 21, 2013

Matribhumi Bikas Bank Limited is going to float the Initial Public Offer (IPO) of 1.54 lakh unit equity shares of face value Rs 100 from November 21.

The development bank has appointed Citizen Investment Trust and Civil Capital Market as its issue managers.

IPO issue worth 3.97 arba & rights shares of 6.18 arba in the pipeline

Altogether 17 companies, including a commercial bank, have applied at the Securities Board of Nepal (SEBON) to issue the Initial Public Offer (IPO), which collectively comes to the tune of Rs 3.97 arba.

Moreover, 34 companies have sought the regulatory body’s approval for issuance of rights shares worth Rs 6.19 arba, according to SEBON sources.

Shares provide better returns

Stock investors raked in 20 per cent returns last year, while prevalent interest rates could not even compensate for inflation and gold price has regressed.

Share prices have appreciated by 20.86 per cent, based on the difference of last fiscal year’s closing price and the previous years’ closing price. If an investor had bought shares towards mid-July 2012 and sold near mid-July 2013, the investor earned 10 per cent return, even considering the rate of inflation at 10 per cent. Investors are also eligible to get dividends that amounted to Rs 62.45 per unit on average last year.

Century Commercial Bank IPO public share issue likely from 2nd week of Bhadra, 2070

Century Commercial Bank is all set to issue primary shares aimed at general public likely from 2nd week of Bhadra, 2070 . The bank has already appointed Citizen Investment Trust, Nabil Investment, Growmore Merchant, Civil Capital and NCM Merchant as issue managers.

Only two public enterprises (PEs), Nepal Telecom (NT) and Rastriya Banijya Bank (RBB) paid dividend to government

Of the 37 public enterprises (PEs) operating in the country, only two -- Nepal Telecom (NT) and Rastriya Banijya Bank (RBB) -- paid dividend to the government in the fiscal year 2011/12.

The Annual Review of PEs released by the Ministry of Finance (MoF) on Friday showed the government received Rs 6.26 billion in dividends, up from Rs 5.49 billion that it had received in 2010/11.

The government received only 6.11 percent returns on the investment that it made on PEs, majority of which are in red, in 2011/12. It invested Rs 102.41 billion in shares and Rs 101.23 billion in loan in the PEs until the end of the fiscal year 2011/12. Until 2010/11, its investment in shares and loan stood at Rs 92.19 billion and Rs 95.16 billion, respectively.

Nepal Bank’s rights issue collection at Rs 3 arba 33 crore, 8% short of target

The rights shares issued by Nepal Bank has fallen 8 percent short of being fully subscribed as the money collected by the end of closing day accounted only for 92 percent of the total issue.

As per the press statement sent by the bank, it will sell the remaining shares following the due legal process.

The bank got Rs 1 arba 40 crore worth of applications for the rights shares from the government alone, which has 38.6 percent stake in the bank.