Upakar Laghubitta Bittiya Sanstha Limited is registered as a ‘D’ class Financial Institution (Microfinance Bank) with a capital of 60 million licensed by Nepal Rastra Bank. It was transferred from the microfinance program of Mahila Upakar Munch. The paid-up capital of this institution is 42.2 million. It is established on Magh 17, 2075 at Kohalpur, Banke, started its services on 1st Chaitra 2075, and registered according to the company Act on Shrawan 25th 2075. It operates 15 branches in 2 districts of province no. 5 Nepal namely Banke & Bardiya.

Upakar Laghubitta Bittiya Sanstha Limited posted a net profit of Rs 18.84 million in the 2nd quarter of the fiscal year 2078/79.

About IPO

Issue DateChaitra 25-29, 2078
Total No of Shares236,250 Units
For Employee3,281 units
For Mutual Fund11,813 Units
For General Public221,156 Units
Total Amount2.36 crores
Issue ManagerNepal SBI Merchant

Key Strengths:

  • Adequate track record of operations and experienced management team
  • Healthy profitability profile supported by lower credit cost and reversal of credit provisions
  • Adequate capitalization profile

Key Challenges:

  • Moderate asset quality
  • Decreasing the share of deposits in the funding mix
  • High geographical concentration
  • Low penetration of credit bureau in nepalese MFI sector; risk of overlevereage borrowers remains high
  • Regulatory risk

Capital Structure

Authorized capital80,000,000
Issued capital65,625,000
Current paid-up capital42,000,000
Paid-up capital after issuance of IPO65,625,000

Shareholding Structure

 Number of sharesAmountPercentageRemarks
Promoters420,00042,000,00064%Already issued
General Public236,25023,625,00036%To be issued

Board of Directors

S. NNamePosition
1Sharada Kumari KhatriChief Executive Officer
2Mrs. Laxmi KCHead of Microfinance Department
3Mrs. Parbati ParajuliHead of Institutional Development and Training
4Mr. Ram Kumar ChaudharyHead of Finance and Information Department
5Mr. Haru KCHead of Monitoring and Internal Audit Department
6Mr. Chitra Bahadur BhandariHead of HR Department

Financial Highlights

About Opening Range

Since the networth of FY 2077/78 is Rs 403.91. We can expect the opening range of Upakar Laghubitta at Rs 403.91 – 1211.73.

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