Demand for new IPOs in the Nepalese stock market has consistently remained high. Recently, with an increasing number of investors and growing interest in the market, the demand for newly listed companies’ IPOs has intensified. Even amid fluctuations in the NEPSE index, investor attraction toward fresh IPOs has not diminished.
Particularly, shares of newly listed companies, often referred to as “Jenzi stocks,” have risen significantly in a short period, further boosting investor enthusiasm for IPOs. Many investors are eager to apply for IPOs, anticipating the potential for quick profits within just a few days of listing.
Recent IPOs in the market have shown continuous upward movement, with some companies hitting positive price circuits despite relatively weaker fundamentals, driven by strong investor demand. Manufacturing sector companies, in particular, have seen share prices climb higher than expected. Newly listed firms such as Sagar Distillery and SY Panel have recorded substantial gains, increasing investor attention toward the manufacturing sector.
Investors note that manufacturing companies are likely to generate consistent profits through regular production, making them a more reliable option for long-term returns. This perception has positioned the sector as a safer and dependable investment choice.
Currently, more than 80 companies are awaiting approval in SEBON’s IPO pipeline. Among them, 23 companies belong to the manufacturing sector. Some of these firms have been waiting for IPO approval for up to two years. Considering the positive market sentiment and growing investor interest, many companies are preparing to launch IPOs at premium prices.
The manufacturing sector IPOs in the pipeline cover a wide range of industries, including cement, steel, cable, agro-farming, paints, and pharmaceuticals. Specifically, the pipeline includes seven cement companies, four pharmaceutical firms, three paint companies, three steel companies, three agro companies, one cable company, one pipe manufacturer, and one distillery company.
Cement, steel, cable, paint, and pharmaceutical companies are linked to construction, development, and daily consumption, ensuring potential stable revenues in the future. Agro-farm companies, by adopting modern production techniques, are also attracting growing investor attention.
Among the cement companies, Jagadamba Cement seeks approval to issue 2,70,00,000 shares at a premium price of NPR 300 per share, Saurya Cement aims for 1,59,81,500 shares at NPR 264.51, and Maruti Cement has applied for 1,16,00,000 shares at NPR 377 per share. Riddhi Siddhi Cement has requested 1,21,71,000 shares at NPR 214.1, Bhugarbh Cement 12,63,000 shares, Mahashakti Cement 1,78,50,000 shares, and Shubhashree Agni Cement 2,02,10,000 shares.
In the pharmaceutical sector, Sopan Pharmaceuticals has applied for 42,90,000 shares, Kantipur Pharmaceuticals 17,00,000 shares, Nivix Pharmaceuticals 13,75,000 shares, and Supreme Healthcare 14,00,000 shares.
Among steel companies, Ambe Steels has requested approval for 1,11,92,727 shares at a premium price of NPR 303 per share, Hulas Infra for 35,47,188 shares at NPR 333.57, and Godavari Steel for shares at the base price of NPR 100.
In the paint sector, Everest Color Ltd. seeks approval for 7,90,000 shares, Sarvottam Paints 8,50,000 shares, and Jasmine Paints 10,00,000 shares. Agro-farm IPOs include Daunne Agro Farm for 12,50,000 shares, KB Agro & Research 10,97,250 shares, and NC Agro Tech 18,75,000 shares.
Other manufacturing sector IPOs in the pipeline include Sri Distillery Ltd. for 9,60,000 shares, Laxmi Technoplast 10,00,000 shares, and Sarathi Cable 11,45,000 shares. Altogether, these 23 companies have applied to SEBON to issue a total of 14,31,18,527 shares worth NPR 28,65,75,41,725.
While banks, financial institutions, and hydropower companies have long dominated the NEPSE market, manufacturing sector firms are steadily gaining prominence. Once these IPOs are listed, the sector is expected to play a leading role in shaping Nepal’s stock market in the near future.
This article was originally published on https://bajarkochirfar.com. Translated with the help of AI and reviewed by our editorial team.
