Securities board categorizes 117 IPO applications as reform committee forms

The Securities Board of Nepal (SEBON) has implemented a six-tier classification system to track 117 companies currently seeking Initial Public Offering (IPO) approval. These firms collectively aim to raise over Rs 71.42 billion by issuing more than 510 million shares. According to the regulator, the new framework categorizes applications based on their progress, ranging from initial registration to final review. While 76 companies remain in the early registration phase, only two applicants—Ashutosh Energy Limited and Kantipur Pharmaceuticals Lab Limited—have advanced to the final review stage. SEBON officials emphasized that reaching this final phase does not ensure approval, as financial and regulatory compliance checks remain mandatory.

Simultaneously, the board has established a seven-member committee to diversify Nepal’s capital market, moving to reduce reliance on equity trading. Led by Acting Executive Director Deepa Dahal, the panel includes representatives from Nepal Rastra Bank, the Nepal Stock Exchange, and the Merchant Bankers’ Association of Nepal. The committee is tasked with developing infrastructure for new instruments, including green and municipal bonds, Real Estate Investment Trusts, and derivatives.