Jagadamba Steels Limited is in advanced preparation to issue its premium Initial Public Offering (IPO). The company owned by Shanker Group has submitted its application to the Securities Board of Nepal (SEBON) seeking permission for the hugely enthralling IPO.
As per reports, Jagadamba has applied to issue its premium IPO at Rs 300 per unit share. Worth Rs 6 arab, the powerhouse business group will issue 2 crore (20 million) shares to the public.
Jagadamba Steels’ per share will cost Rs 300
In 2022/23, the business house reported a preliminary business of worth 40.17 arab. The economic recession did hit the company a bit as its figures stood at 49.73 arab the previous year, a deficit of Rs 9.5 arab in a year. However, it remains Nepal’s one of the most prominent (if not the most) companies to exist.
Jagdamba Steels boasts an annual installed capacity of 24 lakh 44 thousand tons. In 2021, the company’s installed capacity was 23 lakh tons. The company added a CRM plant in the same year.
Jagadamba Steels has a plant in Jeetpur, Bara district in the Terai region of Nepal.
Jagadamba Steels IPO will be a huge appeal
The company imports sponge iron and pig iron from abroad for MS billet production. Likewise, it has been importing HR/CR coils, wire rods, and other raw materials from India and China. Scrap iron is procured from the domestic market.
Jagadamba Steels, an ISO 9001-certified company is the largest steel manufacturer in Nepal. It manufactures TMT bars, corrugated sheets, nails, billets, wires, etc. It’s also credited with being Nepal’s first Galvaloom Sheet manufacturer.
Being one of the highest tax contributors and a profiting company, its IPO will be of major interest among interested investors when its IPO launches post-Dashain. After all, who wants to miss out on owning a part of the country’s major manufacturing company? But do share what you think of the Rs 300 price tag of its premium shares in the comments below.