KATHMANDU, APR 03, 2013
Rural Microfinance Development Centre
(RMDC) is going to be the third company — after Chilime Hydro and Nepal
Telecom — and the first financial institution to issue primary shares at
a premium.
“RMDC has asked Securities Board of Nepal for the
final approval to issue 1,560,000 units of primary shares at a face
value of Rs 100, with a premium of Rs 80, making it a total of Rs 180
per unit,” said chief executive of RMDC Shankar Man Shrestha.
RMDC,
the wholesale lender for microfinance institutions, had sold 300,000
units of shares worth Rs 30 million face value at Rs 180 per unit to
International Finance Corporation (IFC) — a private sector lending
window of the World Bank Group — recently. “IFC paid Rs 54 million in
total,” he said, adding that Siddhartha Bank had also bought 140,000
unit shares at a premium at various rates of up to Rs 315 per unit.
“Siddhartha Bank paid Rs 39.48 million in total.”
The class ‘D’
financial institution, with a paid capital of Rs 364 million, had a net
worth of Rs 1.15 billion by the end of the second quarter of the current
fiscal year. The net worth is projected to increase to Rs 1.60 billion
by the end of the current fiscal year.
RMDC — that has 117
microfinance institutions as its partner institutions across the country
serving one-fourth of the total population — was initially promoted by
Nepal Rastra Bank and 13 other commercial banks.
According to the
current share holding, Standard Chartered Bank Nepal holds 14.33 per
cent, Nabil Bank holds 13.93 per cent, Himalayan Bank 13 per cent, Nepal
Investment Bank nine per cent and Nepal Bank holds eight per cent,
after the entry of IFC that holds 8.2 per cent shares.
Nepal Rastra Bank’s share has also come down to five per cent from the initial 25 per cent.
After
the public issue, their current share holding per cent will further
reduce. “RMDC posted an operating profit of Rs 136.5 million in the last
fiscal year 2011-12,” said Shrestha.
After the public issue,
RMDC will have a paid capital of Rs 520 million. It has appointed Ace
Capital as its issue and sales manager for the primary issue.
Source: THT
