Sanvi Energy IPO Allocation to Take Place Monday; 241,530 Applicants to Receive Shares

Sanvi Energy’s much-anticipated Initial Public Offering (IPO) allocation is scheduled for Monday, Jestha 26, 2082 BS. According to the issue manager, Nepal SBI Merchant Banking Ltd., the exact timing of the share distribution is yet to be finalized.

The IPO attracted overwhelming interest, with applications exceeding demand by more than tenfold, making the share allotment heavily dependent on luck. A total of 2,108,232 investors submitted applications for a combined 25,890,620 shares. However, only 241,530 lucky applicants will secure shares through a lottery system.

Unfortunately, the remaining 1,866,702 applicants will not receive any shares this time. Sanvi Energy had issued 2,415,300 shares to the general public at a face value of NPR 100 per share during the subscription period from Jestha 9 to 13, 2082 BS, raising NPR 241.53 million in total.

In terms of creditworthiness, Care Ratings Nepal has assigned Sanvi Energy a “CARE NP Double B Plus” issuer rating. This rating signifies a moderate risk level regarding the company’s ability to meet its financial obligations promptly. The rating was given on  Poush 11, 2081 BS and is valid until Falgun 15, 2082 BS.

The IPO allocation will mark a significant step for Sanvi Energy as it moves forward with its plans for expansion and operational growth, backed by solid investor confidence and regulatory approvals.