The company is going to issue an IPO from the quota allocated for Nepali citizens abroad who have obtained a work permit.
We use Google Cloud Translation Services. Google requires we provide the following disclaimer relating to use of this service:
This service may contain translations powered by Google. Google disclaims all warranties related to the translations, expressed or implied, including any warranties of accuracy, reliability, and any implied warranties of merchantability, fitness for a particular purpose, and noninfringement.
Reliance Spinning Mills Limited is set to launch its initial public offering (IPO) targeting Nepalese working abroad from Monday (Mangsir 22). The company is going to issue the IPO from the quota allocated for Nepalese citizens working abroad after obtaining work permits.
The company has stated that 10 percent of the 1,155,960 shares put up for public offering, or 115,596 shares, have been set aside for Nepalis living abroad.
Reliance, which started the IPO issuance process through the book building method, had set the IPO price at Rs 820.80 a year ago. The company stated that the price was set based on the profit made in the fiscal year 2080/81. According to the audited statements, the company claims to have earned a net profit of Rs 54 million in that year.
Reliance has already sold shares to institutional investors at a maximum rate of Rs 912 in Magh 2080. The price set for the general public is said to be 10 percent lower than that.
According to a press release issued by the company, there has been a significant increase in both total income and operating profit in the annual financial statements. Total income in the fiscal year 2080/81 was Rs 9.26 billion, which increased to Rs 10.2378 billion in the fiscal year 2081/82. Similarly, operating profit has increased from Rs 572.8 million to Rs 1.37 billion.
Earlier, the Nepal Securities Board had given necessary instructions to the issue and sale manager Global IME Capital on Tuesday to resume the IPO process, which was stopped as per the order of the Patan High Court.
