Himalayan Bank Limited (HBL) is set to conduct a Follow-on Public Offering (FPO). To facilitate this, the Securities Board of Nepal (SEBON) granted the bank permission on Ashad 22, 2082 BS.
The bank had presented its application to the board on Magh 28, 2081 BS, having fulfilled the required procedures. Only with the authorization from the regulatory body SEBON can the bank offer shares to the public. Following SEBON’s endorsement, the bank will issue 92,50,469 shares at a premium rate of Rs. 157 per share. Consequently, the public offering totals Rs. 1.45 Arba.
The 31st Annual General Meeting of Himalayan Bank authorized the resolution to issue shares in the FPO at a premium price.
The bank has designated Citizen Investment Trust (CIT) as the underwriter for the shares, with a formal agreement between the bank and CIT. This agreement was signed by Ashok Shamsher, the Chief Executive Officer of Himalayan Bank Limited, and Parbat Kumar Karki, the Executive Director of CIT. Citizens Capital Limited will serve as the issue and sales manager for the FPO.
What Is FPO? FPO (Follow-On Public Offering) refers to the process of offering shares to the public by a company that is already listed on the stock exchange. In contrast, if a company issues shares to the public for the first time, it is referred to as an IPO (Initial Public Offering). FPO denotes any subsequent issuance of shares by the company following an IPO.
