Securities board categorizes 117 IPO applications as reform committee forms
SEBON has categorized 117 IPO applications into six stages while forming a new committee to expand Nepal's capital market beyond equity trading.
The Securities Board of Nepal (SEBON) has introduced a six-tier classification system for the 117 companies currently awaiting approval for Initial Public Offering (IPO) issuances. According to data released by the regulator on October 28, 2026, these companies are seeking to raise over Rs 71.42 billion through the issuance of more than 510 million shares.
IPO pipeline status
SEBON’s new framework organizes applications based on their procedural progress, ranging from initial registration to final review. Aarthik News and Annapurna Post reported that only two companies—Ashutosh Energy Limited and Kantipur Pharmaceuticals Lab Limited—have reached the final review stage. However, regulators cautioned that reaching this phase does not guarantee approval, as the board must still verify financial statements and regulatory compliance.
Most applicants remain in the early stages of the process. According to both outlets, 76 companies are currently in the initial registration phase, while others are distributed across intermediate steps, including responding to regulatory feedback and undergoing preliminary reviews. The board stated that this classification aims to provide greater transparency to the public regarding the status of companies seeking capital from the market.
Expanding financial instruments
Beyond managing the current IPO backlog, SEBON is moving to diversify the capital market. On October 30, 2026, the board announced the formation of a seven-member committee tasked with developing new financial instruments. This initiative is part of the regulator's 'Capital Market Development Roadmap, 2026,' which seeks to reduce the market's heavy reliance on equity trading.
Onlinekhabar and My Republica reported that the committee, led by SEBON Acting Executive Director Deepa Dahal, includes representatives from Nepal Rastra Bank, the Nepal Stock Exchange, and the Merchant Bankers’ Association of Nepal. The panel is mandated to study and establish the legal and technical infrastructure for instruments such as corporate and green bonds, municipal bonds, Real Estate Investment Trusts (REITs), and Infrastructure Investment Trusts (InvITs).
The committee’s scope also extends to the phased introduction of derivative products, including commodity futures and currency derivatives. The board noted that the first meeting of this committee took place on October 30, 2026, marking the beginning of efforts to create a more multifaceted and investor-friendly market environment.