Sarvottam Paints Industries Limited has officially launched its Initial Public Offering (IPO) for the public starting today, 28th Jestha, 2083, offering 7,05,500 shares at a nominal value of Rs. 100 per unit. The IPO was initially slated to conclude on 2nd Ashadh, 2083, with an option to extend the closing date to 11th Ashadh, 2083, should there be insufficient subscriptions.
The firm’s issued capital stands at Rs. 34 Crores. Out of this amount, 25%, equivalent to 8,50,000 unit shares, will be made available to the public. From this public offering, 10% of 8,50,000, or 85,000 unit shares, have been allocated to Nepali citizens residing abroad.
Additionally, 2% of the general public issue, which translates to 17,000 units, has been earmarked for the company’s workforce, while 5% of the total shares offered, amounting to 42,500 units, are reserved for mutual funds. The leftover 7,05,500 units will be offered to the general public and will be accessible from today.
Global IME Capital Limited has been designated as the issue manager for this public offering. Investors can apply for a minimum of 10 units and a maximum of 5,000 units.
CARE Ratings Nepal Limited (CRNL) has elevated the issuer rating of Sarvottam Paints Industries Limited (SPIL) to ‘CARE-NP BB (Is)’ from ‘CARE-NP BB- (Is)’. This rating suggests that the issuer exhibits a moderate level of default risk in fulfilling its financial commitments within the Nepalese market.
Originally registered as a private limited entity on January 23, 2015, Sarvottam Paints Industries Limited (SPIL) transitioned to a public limited company on July 14, 2022. The firm specializes in the manufacturing and distribution of a diverse array of products, including decorative interior and exterior emulsion paints, primers, enamel finishes, water-based primers, distempers, waterproofing solutions, oil-based primers, gold finishes, cement paints, thermoplastic road-marking paints, and wall putty. Its manufacturing facility is situated in Godawari-02, Attariya, Kailali, while its sales office is located in Madhyapur Thimi-02, Bhaktapur, Nepal.
