The Securities Board of Nepal (SEBON) has officially added Hulas Infra Limited Initial Public Offering (IPO) proposal to its pipeline. The company is planning to issue a total of 35,47,188 shares at a premium price of Rs. 333.56 per share, marking one of the higher-priced entries in the current IPO landscape.
Premium pricing with solid financials
Hulas Infra is entering the capital market with strong financial backing. The company reported an operating income of Rs. 268 million in the fiscal year 2023. This performance supports its decision to issue shares at a premium rate, reflecting investor confidence in its growth potential.
Credit rating of Hulas Infra Limited
As per the credit assessment, Hulas Infra has received an IRN BB rating, suggesting a moderate degree of safety regarding timely servicing of financial obligations. This rating reflects the company’s stable position but also notes some level of risk for investors to consider.
Issue Manager ?
The IPO will be managed by Nabil Investment Banking Limited, a prominent name in Nepal’s capital market. With a seasoned issue manager on board, the company aims to streamline its public offering process and attract a wide base of investors.
Promoter holding and future steps
While detailed information on promoter holding has not been disclosed, the IPO listing in SEBON’s pipeline signals that the company is in its final preparatory phase. Once the necessary approvals are granted, Hulas Infra will move ahead with the official issuance of shares.
What happens next?
With SEBON’s nod to include the proposal in its pipeline, the market will now be watching closely for approval updates and the official opening date. Hulas Infra’s entry into the stock market could offer a new investment opportunity, especially for those seeking exposure to infrastructure development in Nepal.
