Mirmire Laghubitta's FPO Allotment To Be Concluded On Thursday; 12,381 Applicants Get 10 Units Each

The FPO allotment of Mirmire Laghubitta Bittiya Sanstha Limited (MMFDB) will take place this Thursday, i.e. on 16th Kartik, 2080. The allotment program will be held at the premises of Nepal SBI Merchant Banking Limited, Hattisar, Kathmandu at 8:30 AM.

The current paid-up capital of the company is Rs. 65.33 crores of which 71% of shares or 4,639,019 units are of the promoter shareholders in the company while 29% or 1,894,810 units shares are of the public shareholders. According to the Banks and Financial Institutions Act of 2073 and the NRB, at least 30% of the issued capital should be retained by public shareholders in order for the company issued 1,23,816.45 units of FPO shares to the general public. At present, the promoter: public share structure is a 71:29 ratio, which after this FPO will be a 70: 30 ratio.

According to data presented by CDSC, the issue has received approximately 12,12,109 applications applying for a total of 1,38,83,730 units of shares till the closing day. Thus, the FPO was oversubscribed by 112.13 times in terms of the number of units through ordinary applicants.

Looking at the data, it is apparent that only 12,381 lucky applicants will get ownership of the company.

CARE Ratings Nepal Limited (CRNL) has given the rating of CARE-NP BB- (Is) to Mirmire Laghubitta Bittiya Sanstha Limited. Issuers with this rating are considered to offer a moderate risk of default regarding the timely servicing of financial obligations, in Nepal.