Proposed FPO of Reliance Lotus Finance gets ICRA Grade 5; paid up to reach 37 crore after the FPO

ICRA Nepal has assigned an “[ICRANP] IPO Grade 5”, indicating poor fundamentals to the proposed FPO amounting NPR 5.142 crore of Reliance Lotus Finance Limited (RLFL). RLFL proposes to come out with an FPO of 5,14,286 numbers of equity shares of face value NPR 100 each, to be issued to the general public at par. NCM Merchant Banking Limited has been appointed as the issue manager for the FPO. At present the company has a paid up capital of Rs 32 crore. After the FPO its paid up capital will reach to Rs 37 crore. Reliance Lotus Finance had posted net profit of Rs.4.55 crore in its 4th quarter of the fiscal year 2071/72. ICRA Nepal assigns IPO grading on a scale of IPO Grade 1 through IPO Grade 5, with Grade 1 indicating strong fundamentals and Grade 5 indicating poor fundamentals.