Swastik Laghubitta’s initial public offering (IPO) has seen an overwhelming response from investors. The IPO received 150.52 times more applications than the number of shares offered, making it one of the most oversubscribed issues recently.
According to CDS and Clearing Limited, a total of 2,528,551 people applied for the IPO. The total number of shares applied for was 29,381,650, worth Rs 2.94 billion.
Because the demand far exceeded supply, shares will be allotted through a lottery system. Each successful applicant will receive 10 shares. This means that more than 2.5 million applicants will not get any shares.
The strong response highlights the popularity of Swastik Laghubitta among investors and the growing interest in microfinance companies in Nepal.
