Category: Articles & Updates

  • Lumbini Bikas Bank Promoter Initiates Auction for 37,319 Shares to Existing Shareholders

    Lumbini Bikas Bank Promoter Initiates Auction for 37,319 Shares to Existing Shareholders


    The current promoter of Lumbini Bikas Bank Limited (LBBL) is initiating an auction for 37,319 units of shares to be exclusively offered to existing promoter shareholders, starting from today. Manlaxmi Thapa, a promoter of LBBL, is overseeing the sale of these 37,319 units of promoter shares to fellow existing promoter shareholders. Interested individuals are invited to participate in this auction, and they have a 35-day window from the date of this notice’s publication, which falls on the 15th of Kartik.

    Potential investors who wish to take part in this auction should submit their bids at the bank’s central office, located in Dillibazar, Kathmandu. In the event that no bids are received from the current founder shareholders within the specified timeframe, these shares will subsequently become available for auction to the general public.

    As of the most recent trading day, LBBL had closed at a share price of Rs. 372.70. Conversely, the last traded price (LTP) for LBBL Promoter Share Auction (LBBLPO) was reported at Rs. 182.00 as of the 4th of June, 2023. This LTP represents the price at which these shares were most recently traded before the initiation of this auction.

  • Kathmandu Metropolitan City Sees Significant Revenue Increase, Collects Rs 1.17 Billion in Two Months

    Kathmandu Metropolitan City Sees Significant Revenue Increase, Collects Rs 1.17 Billion in Two Months


    Over the past two months, the Kathmandu Metropolitan City (KMC) has amassed a revenue of Rs 1.17 billion, marking a significant increase of nearly Rs 230 million compared to the same period in the previous fiscal year. During the corresponding timeframe last year, KMC had collected Rs 934.1 million in revenue. The notable surge in revenue collection has been attributed to the initiation of revenue collection by KMC’s ward offices, as stated by Dhruba Kafle, Chief of the Revenue Department at KMC.

    This growth in revenue has coincided with a notable rise in the number of taxpayers, which can be attributed to all 32 wards under KMC now offering tax collection services. It’s been reported that an increased number of taxpayers are paying property tax and house rent, reflecting a boost in compliance. KMC administers tax collection under nine different categories, including property tax, house rent tax, entertainment tax, and advertisement tax, among others.

    In the current fiscal year, KMC has set an ambitious target to collect Rs 10.41 billion in revenue, highlighting its commitment to continued financial growth and service provision.

  • Kumari Bank Limited Promoters Auction 5,30,000 Shares at Rs. 101 Minimum Rate for Public and Institutions

    Kumari Bank Limited Promoters Auction 5,30,000 Shares at Rs. 101 Minimum Rate for Public and Institutions


    Starting today, the existing promoters of Kumari Bank Limited (KBL) have initiated the auction of 5,30,000 units of shares, making them available to both the general public and institutions. This auction commenced on the 14th of Kartik, 2080, as per the Nepali calendar.

    The minimum auction rate for the 5,30,000 promoter shares of KBL has been set at Rs. 101. Eligibility for participation in the auction extends to both the general public and institutions, with a submission deadline for bids falling on the 20th of Kartik.

    Shareholders interested in bidding for these shares should submit their bids at Kumari Capital Limited, located at Naxal, Nagpokhari, Kathmandu.

    Notably, Kumari Bank Limited (KBL) had closed at a share price of Rs. 156.00 the previous day. In contrast, Kumari Bank Limited Promoter Share Auction (KBLPO) had a last trading price (LTP) of Rs. 101 as of the 18th of October, 2023.

  • Struggles of Newly Listed Companies: SONA and GCIL Face IPO Price Pressures in Secondary Market

    Struggles of Newly Listed Companies: SONA and GCIL Face IPO Price Pressures in Secondary Market


    Sonapur Minerals and Oil Limited (SONA) had its initial public offering (IPO) priced at Rs. 237.58 per share, but after entering the secondary market, it encountered ongoing difficulties. The stock experienced a troubling pattern, with negative circuit breakers triggered for three consecutive days, causing a significant decline in its trading value.

    Currently, SONA’s share price is hovering near its IPO price at Rs. 255.20 per share, reflecting a substantial decrease of approximately 9.98% from its last closing price. Experts in the market speculate that there might be continued selling pressure, which could push the stock into another circuit breaker situation below its initial price.

    SONA has a total of 30,750,500 shares listed on the Nepal Stock Exchange (NEPSE). Among these, 12,165,680 shares were offered to the general public at a premium of Rs. 237.58 (consisting of Rs. 100 face value and Rs. 137.58 premium), while 1,34,520 shares were allocated to project-affected locals at Rs. 225 per share (comprising Rs. 100 face value and Rs. 125 premium).

    The stock began trading at Rs. 350 on Sunday, with an opening range of Rs. 142.01 to Rs. 426.03. However, it hit a 10% negative circuit breaker on both the first day and Monday, resulting in a substantial decline of about 27.08% from its opening price.

    In a similar vein, Ghorahi Cement Industry Limited (GCIL) encountered a comparable situation in the secondary market. The company’s IPO was launched at a premium price of Rs. 435 per share, but in subsequent trading days, its shares consistently traded below the issued price.

    As of the most recent update, GCIL’s shares are trading at Rs. 390, marking a significant decrease of approximately 13.33% from its IPO price. The company has struggled to maintain its value in the secondary market, leading to concerns among investors and market observers about its performance and future prospects.

    The challenges faced by SONA and GCIL in the secondary market highlight the difficulties newly listed companies encounter. Investors and stakeholders are actively evaluating the factors contributing to this decline and considering potential strategies these companies might employ to regain their standing in the market.

  • RSDC Reports 6.65% Growth in Net Profit in First Quarter of Fiscal Year 2080/81

    RSDC Reports 6.65% Growth in Net Profit in First Quarter of Fiscal Year 2080/81


    RSDC Laghubitta Bittiya Sanstha Limited (RSDC) has recently released its first quarterly report for the fiscal year 2080/81, revealing several noteworthy findings. One of the most significant highlights is the impressive growth in net profit, which increased by 6.65%. During the first quarter, RSDC reported a net profit of Rs. 4.07 crores, a marked improvement compared to the Rs. 3.82 crores in the same period of the previous year.

    The report also emphasizes a substantial rise in borrowings, which surged by 9.05% in the first quarter of 2080/81, reaching a total of Rs. 5.90 Arba.

    RSDC reported a substantial reduction of 101.98% in impairment charges. This decline signifies improved asset quality and risk management within the organization. However, the company’s expenses related to personnel increased by 6.32%, reaching Rs. 1.21 crores by the end of Ashwin.

    Net Interest Income, the primary revenue stream for microfinance companies, experienced a decrease of 10.96%, totaling Rs. 6.81 crores in the first quarter of the fiscal year 2080/81. This decline may be reflective of broader economic conditions.

    Although at a relatively low level, the Non-Performing Loan (NPL) ratio increased to 1.49% in the first quarter of the financial year 2080/81.

    RSDC maintains a paid-up capital of Rs. 86.95 crores, with a distributable profit of Rs. 10.13 crores to be distributed to its shareholders, indicating the company’s sound financial position.

    The Net Worth per Share has remained nearly constant at Rs. 126.93.

    It is worth noting that the company has proposed a dividend of 9.0528% (comprising 8.6% bonus shares worth Rs. 7.47 Crores and 0.4528% in cash dividends worth Rs. 39.35 lakhs) for the fiscal year 2079/80.

  • Last Day to Be Eligible for 1: 2 Rights Offering of Ghalemdi Hydro (GHL)

    Last Day to Be Eligible for 1: 2 Rights Offering of Ghalemdi Hydro (GHL)


    Today marks the final day for individuals to qualify for Ghalemdi Hydro Limited’s (GHL) rights offering. The company is set to distribute 200% right shares valued at Rs. 1.10 Arba, achieved by issuing 11,000,000 (1:2) units of right shares to its current shareholders. This move is in line with GHL’s intention to secure at least a 51% stake in the Chujung Khola hydropower project, which is a 63 M.W. PRoR project located in Sankhuwasabha and promoted by Shangrila Urja Pvt. Ltd.

    GHL’s existing paid-up capital stands at Rs. 55 Crores. Upon the execution of the proposed right share issuance, which amounts to 1.10 crore units, the company’s paid-up capital will substantially increase to Rs. 1.65 Arba.

    Muktinath Capital has been designated as the issue manager for this process.

    The book closure date for this offering is set for Kartik 03, 2080. Consequently, shareholders holding shares as of today will be eligible for the rights offering. As of the most recent data available, the last traded price for GHL shares was Rs. 175 per share.

  • Gold Prices in Nepalese Market Reach All-Time High, Silver Takes a Dip

    Gold Prices in Nepalese Market Reach All-Time High, Silver Takes a Dip


    The local gold market has recently reached an all-time high, experiencing a substantial surge of Rs. 500 per tola. Official data from the Federation of Nepal Gold and Silver Dealers’ Association reveals that fine gold is now being traded at an unprecedented rate of Rs. 113,700 per tola. This marks a significant increase from the previous day when the same amount of fine gold was priced at Rs. 113,200 per tola. Tejabi gold, another variety, has also seen a notable rise in its price and is currently trading at Rs. 113,150 per tola, up from the previous rate of Rs. 112,650 per tola.

    This surge in gold prices in the Nepalese market brings to mind the last time such record-breaking prices were witnessed, which was on July 20. On that day, fine gold was valued at Rs. 113,600 per tola, and Tejabi gold was priced at Rs. 113,050 per tola.

    In contrast, the silver market has experienced a slight decrease, with the price of silver declining by Rs. 15 per tola. Currently, silver is trading at Rs. 1,395 per tola, compared to the previous day’s closing rate of Rs. 1,410 per tola.

    It’s worth noting that these notable price fluctuations in the local market align with global trends. Currently, the global price for gold stands at USD $1,946.80 per ounce, while silver is being traded at $22.90 per ounce. These changes reflect both local and international dynamics in the precious metals market.

  • Promoter of Suryodaya Womi Laghubitta Bittiya Sanstha Ltd. Offers 10,000 Shares in Auction to the Public

    Promoter of Suryodaya Womi Laghubitta Bittiya Sanstha Ltd. Offers 10,000 Shares in Auction to the Public


    A new opportunity has emerged for the general public to acquire shares in Suryodaya Womi Laghubitta Bittiya Sanstha Limited (SWMF). Dipak Sharma, one of the existing promoters of SWMF, has decided to auction off 10,000 units of promoter shares to the public. The auction officially commenced today and will remain open for bidding for a duration of 35 days from the date of the notice, which is the 1st of Kartik.

    It’s important to note that the initial attempt was made to auction these shares to eligible promoter shareholders. However, as no applications were received within the stipulated timeframe, the decision has been made to re-auction these promoter shares to the general public. Interested individuals looking to participate in the auction are required to submit their bids either at the central office, situated in Mahalaxmi-04, Lalitpur, or at Kumari Capital Limited, located in Naxal, Nagpokhari, Kathmandu.

    As of the most recent trading session, SWMF closed at a price of Rs. 597.00. Meanwhile, SWMFPO, which presumably pertains to the shares available in this auction, has a Last Traded Price (LTP) of Rs. 225.55 as of the 8th of October, 2023. This auction presents an opportunity for potential investors to acquire a stake in the company, subject to the conditions and procedures outlined by the company and regulators.

  • “Gold Price Surges by Rs. 1,300 per Tola in Nepal, Silver Also Sees Increase”

    “Gold Price Surges by Rs. 1,300 per Tola in Nepal, Silver Also Sees Increase”


    The price of the precious metal gold has experienced a significant boost, rising by Rs. 1,300 per tola today when compared to the trading rate on Tuesday. As reported by the Federation of Nepal Gold and Silver Dealers’ Association (FENEGOSIDA), fine gold now holds a value of Rs. 1,13,200 per tola, while Tejabi gold is priced at Rs. 1,12,650. Just two days ago, fine gold was available at Rs. 1,11,900 per tola, and Tejabi gold was priced at Rs. 1,11,350 per tola.

    In tandem with the surge in gold prices, the price of silver has also seen an increase today, with a rise of 35 rupees. The current price of silver stands at 1,410 rupees per tola, whereas it was at 1,375 rupees per tola on Tuesday.

    On the global scale, the present gold rate in international markets is quoted at USD $1,938.00, and silver is trading at $23.11 per ounce. These fluctuations in the prices of these precious metals could be attributed to various economic and market factors.

  • Dibyashwari Hydropower Company (DHPL) Proposes 200% Right Share Issue to Clear Loans

    Dibyashwari Hydropower Company (DHPL) Proposes 200% Right Share Issue to Clear Loans


    Dibyashwari Hydropower Company Limited (DHPL) has revised its proposal for issuing right shares, as decided during a Board of Directors (BOD) meeting held on Ashwin 29. The initial plan was to offer 1:1 or 100% right shares, announced on Ashad 10, 2080. However, the BOD meeting on Ashwin 29 decided to cancel the previous proposal and instead put forward a new plan to issue 1:2 or 200% right shares based on the current paid-up capital.

    DHPL has also specified its intention to invest 51% of the capital generated from the right issue into the Five Khapan Hydropower project. The company cites the need to clear outstanding loans acquired from banks as a primary reason for this decision.

    It’s important to note that the implementation of this decision is contingent on approval from the relevant regulatory authorities and subsequent endorsement at the upcoming Annual General Meeting (AGM) of the company.

    In terms of financial performance, DHPL reported a net loss of Rs 3.82 Crore while generating revenue of Rs 8.60 Crores from power sales. The company has a power generation capacity of 3.3 MW.

    As of the latest available data, DHPL’s stock closed at Rs. 142 in the previous trading session.

  • “Nepal Rastra Bank’s Mid-September 2023 Financial Snapshot: Inflation, Forex Reserves, and Economic Indicators”

    “Nepal Rastra Bank’s Mid-September 2023 Financial Snapshot: Inflation, Forex Reserves, and Economic Indicators”


    Nepal Rastra Bank, the central bank of Nepal, has released an overview of the current macroeconomic and financial situation in Nepal, based on data from the first two months ending in mid-September 2023.

    Inflation and Forex Reserves:The central bank reported an estimated year-on-year inflation rate of 8.19%. Nepal’s gross foreign exchange reserves stood at $12.01 billion, while total imports and exports declined by 5.1%, leading to a 4.7% reduction in the trade deficit.

    Concessional Loans: As of mid-September 2023, concessional loans amounted to NPR 195.62 billion, benefiting 144,758 borrowers, with a significant portion directed toward commercial agriculture, livestock, and women entrepreneurs.

    Stock Market: The NEPSE index in mid-September 2023 reached 1964.9, compared to 1910.4 in the same period the previous year.

    Inflation: Consumer price inflation for the same period was 8.19%, down from 8.64% the previous year. Wholesale price inflation also decreased significantly to 4.78%.

    Imports and Exports: Merchandise exports saw a 7.8% decrease in the first two months of 2023/24, while imports decreased by 5.1%. Exports to India declined, but exports to China and other countries increased.

    Services and Remittance: Nepal experienced a deficit in net services income, while remittances increased by 22.1%.

    Inter-bank Transactions:Interbank transactions, including those among commercial banks and other financial institutions, have seen a substantial increase.

    Oil and Gold Prices:The international price of oil increased, while gold prices also rose.

    Foreign Exchange Reserves: Gross foreign exchange reserves showed growth, covering a substantial portion of imports and other financial indicators.

    Exchange Rate:The Nepalese currency depreciated slightly against the US dollar.

    Government Expenditure and Revenue: The government’s expenditure and revenue figures were reported, providing insights into the country’s financial activities.

    Banking and Credit: Domestic credit decreased slightly, and the monetary sector’s claims on the private sector increased by 1.7%.

    Interest Rates: Various banking sectors reported their average base rates, which showed some variations compared to the previous year.

    Balance of Payments: The Balance of Payments (BOP) reflected a surplus, contrasting with a deficit from the same period in the previous year.

    This comprehensive report offers a detailed insight into Nepal’s economic and financial landscape during the initial two months of the fiscal year 2023/24.

  • “Infinity Laghubitta Bittiya Sanstha Limited (ILBS) Initiates Auction of Promoter Shares”

    “Infinity Laghubitta Bittiya Sanstha Limited (ILBS) Initiates Auction of Promoter Shares”


    The current promoters of Infinity Laghubitta Bittiya Sanstha Limited (ILBS) have initiated an auction of 99,372 shares, making them available to both existing promoter shareholders and the general public or institutions. This auction commenced on the 26th of Ashwin, 2080. Interested parties, including individuals and promoter shareholders, have a 15-day window to place their bids. It is important to note that all bids must be submitted at ILBS’s central office located in Gaidakot, Nawalparasi. The last traded price (LTP) for ILBS as of now is Rs. 622.

    In addition to the aforementioned auction, ILBS’s promoters are also offering 66,962 shares exclusively for existing promoter shareholders. This auction, like the previous one, began on the 26th of Ashwin, 2080. Existing promoter shareholders who wish to participate in the auction have the opportunity to do so. However, if no bids are received from the existing founder shareholders during the specified timeframe, these shares will later become open for auction to the general public. Interested investors who fall into this category should ensure that their bids are submitted at ILBS’s central office in Gaidakot, Nawalparasi within 35 days from the date of the notice’s publication. As of September 25, 2023, ILBSP has an LTP of Rs. 380.