IPO Pipeline Grows to Rs. 70.19 Arba, but SEBON Approvals Remain at Zero
Nepal’s IPO pipeline has continued to expand with four new applications filed since Gopal Prasad Bhatt took charge as SEBON chairman. However, the regulator has not approved a single new IPO during his tenure.
New applications for initial public offerings (IPOs) have started to increase at the Securities Board of Nepal (SEBON), but approvals remain at zero. Since Gopal Prasad Bhatt was appointed SEBON chairman, four companies—Makrigad Hydropower, Indreni Mushroom Farm, Madhyapur Hospital, and Kalinchowk Investment Company—have applied for IPO approval. According to SEBON’s latest list, a total of 108 companies are currently awaiting IPO approval, with proposed issues worth Rs. 70.19 Arba. However, the latest IPO approvals on record were issued on Baisakh 2, 2083, when Mount Everest Power Development, Sarbottam Paints Industries, and Everest Color received approval. In terms of the number of applicants, the hydropower sector leads with 35 companies, while the manufacturing and processing sector dominates by proposed issue value, with 31 companies seeking to raise Rs. 35.44 Arba. Hotel and tourism companies have applied to raise Rs. 6.45 Arba, while other sectors account for additional proposed issues. Despite the growing number and value of IPO applications, the pace of approvals has remained slow, with none of the four companies that applied after Bhatt’s appointment receiving approval so far.