FPO worth Rs 5.45 arba of Nepal Investment Bank: What do experts say ?

Nepal Investment Bank Limited (NIB) will be issuing 90 lakhs, 69 thousand, 3 hundred and 88 units shares (Rs 5.45 arba) as a part of the Further Public Offering (FPO) from Falgun 11, 2072. The FPO will be issued at Rs 601/unit. The last trading price of Nepal Investment Bank Limited stands at Rs. 935 as on February 18, 2016. Here is opinion of the experts regarding the FPO issue of Nepal Investment Bank Limited:   Bishnu Tripathi Investor I think investing in Nepal Investment FPO to be wise. Though the premium price is 601 but it is lower than the market rate. The volume of shares to be issued in FPO is also huge, so there is a good chance to get shares in good ratio. I would recommend applying for 80 kitta below 50,000 as the small investors will be getting shares comparatively in good ratio. Uddhav Siwakoti Investor It’s a profitable project for the general public as there is just 1% interest in savings. Even by taking loans and investing is FPO is good. It will be highly profitable to invest in Nepal Investment FPO. Nepal Investment is a growing company with good fundamentals. After the FPO it will collect huge amount in reserve, which will be later issued as bonus share as the banks cannot issue cash dividends. When other banks will reach a paid up capital of Rs 8 arba, Nepal Investments’s paid up capital will reach 10 arba. In my opinion, investing below Rs. 50,000 is good, but the volume matters. Getting huge volume will be profitable. Rabindra Nuchhe Pradhan Primier Securities Company Limited (Broker Number 32) Investing in the FPO of Nepal Investment Bank Limited is wise as we are getting it in lower price than that of market price. After the FPO, the reserve will also increase by about Rs 4.54 arba which will later be beneficial for the shareholders. I think investors should apply as per their potential. Binod Rimal Nepal Stock House Private Limited (Broker Number 14) The last trading price of Nepal Investment Bank Limited stands at Rs 935 and FPO is being issued at a  price of Rs 601. So, people should definitely invest in the FPO. Fundamentally also the company is strong. The company’s return and profit is also good. After the FPO its reserve will hike to Rs. 9.11 arba which will again comeback to shareholders with time.