IPO Approvals Remain Stalled Despite New SEBON Leadership; 104 Companies Await Clearance
A month after a new leadership took charge at the Securities Board of Nepal (SEBON), the approval process for initial public offerings (IPOs) remains stalled. Currently, 104 companies seeking to raise over Rs 69.30 billion are awaiting regulatory approval.
The Securities Board of Nepal (SEBON) has yet to resume IPO approvals despite a month passing since Dr. Gopal Prasad Bhatt assumed office as chairman. No company has received approval in the last three months, leaving 104 firms waiting to issue around 472.8 million shares worth Rs 69.30 billion. SEBON says the approval process has not been formally halted, while officials attribute the delay to the need for updated annual reports and financial statements at the start of the new fiscal year. Dr. Bhatt has emphasized regulatory reforms and long-term capital market development, indicating that IPO approvals may take some more time. Of the pending applications, 34 are from hydropower companies, followed by 30 manufacturing firms and 18 hotel and tourism companies. Market participants expect the approval process to gain momentum once the required financial disclosures are completed.