The Himalayan Bank Limited FPO has generated a strong investor response, with the issue being oversubscribed by 2.01 times, according to data from CDSC.
The Further Public Offering (FPO) opened on 32nd Ashadh, 2082, and is set to close on 4th Shrawan, 2082. Through this FPO, Himalayan Bank Limited (HBL) is offering 92,50,469 unit shares at a rate of Rs. 157 per share (Rs. 100 face value + Rs. 57 premium). The bank aims to raise Rs. 1.45 Arba through the issue.
Citizens Capital Limited has been appointed as the issue manager. Interested investors can apply for a minimum of 10 units and up to the full 92,50,469 units.
As per the latest report by CDSC, 8,70,670 applicants have collectively applied for 1,85,97,030 units, more than double the available shares, confirming the Himalayan Bank Limited FPO is oversubscribed.
However, despite the overwhelming response, CARE Ratings Nepal Limited (CRNL) has downgraded HBL’s issuer rating from ‘CARE-NP BBB+ (Is)’ to ‘CARE-NP BBB (Is)’. The downgrade comes with the rating being placed under credit watch with negative implications, reflecting concerns about the bank’s financial health. The same rating downgrade also applies to HBL’s Subordinated Bonds.
These ratings suggest a moderate level of credit risk for HBL, but the public’s investment interest indicates continued trust in the institution’s long-term potential.
The Himalayan Bank Limited FPO marks an important event in Nepal’s financial sector, balancing investor enthusiasm with cautious rating signals.
