Himalayan Bank Limited’s Follow-on Public Offering (FPO) allocation will now take place next week. According to sales manager Citizens Capital, the delay is due to pending confirmation of applications from some key member banks.
Once the confirmation process is completed, a pre-allotment procedure will follow. According to current regulations, at least two days must be allowed after the pre-allotment before the final allocation can proceed. This series of steps has pushed the FPO allocation timeline into next week. Citizens Capital is preparing to start the allocation process as soon as the new week begins.
This FPO received applications from more than 1.7 million investors, over four times the total shares offered. However, only 925,046 applicants will receive shares through a lottery system. Among them, nine lucky investors will get 11 shares each, while the rest will receive 10 shares each.
Himalayan Bank launched the FPO on Ashad 32, offering 9,250,469 shares worth NPR 1.452 billion. The shares were priced at NPR 157 each, including a NPR 100 face value and NPR 57 premium.
Earlier, the bank proposed issuing the FPO at NPR 169 per share (NPR 100 face value plus NPR 69 premium). However, the Nepal Securities Board approved the FPO at a reduced premium, allowing the issue price to be NPR 157 per share on Ashad 22.
