--By TC Correspondent 

 

Around 157.8 million shares have been listed in Nepal Stock Exchange (NEPSE) in the FY 2012-2013. During this period, IPO shares, bonus and right shares were listed in NEPSE. The numbers of listed shares have increased by 3 per cent from the previous fiscal year. At the end of FY 2011-2012, the listed shares in NEPSE were around 1.14 billion which increased to around 1.30 billion in the previous year. 

 

Securities Board of Nepal (SEBON) has provided all kinds of share issuance permits up to Rs 20.31 billion. According to a SEBON source, permission has been given to issue IPO shares up to Rs 3.51 billion to 23 companies, right shares up to Rs 3.94 billion to 5 companies, bonus shares up to Rs 4.60 billion to 52 companies and bond issuance up to Rs 3.15 billion to 7 companies. There is a possibility of these shares being listed in NEPSE for transaction in the current fiscal year which ensures the expansion of share markets in comparison to the previous fiscal year. 

 

Market Size Increased by 40pc

Compared to FY 2011-2012, market capitalisation of the share market has increased by 40 per cent in FY 2012-2013. Market capitalisation in the previous fiscal year had increased by 13.84 per cent. During the end of FY 2011-2012, the total market capitalisation of companies listed in NEPSE was Rs 368 billion which increased to Rs 514 billion in FY 2012-2013.  According to Anjan Raj Poudyal, former President of Stock Brokers Association of Nepal (SEBAN), the increment in the share market size is caused by the rise in the number of listed companies, share and investors within this year. He also said the operation of essential infrastructures of share market like CDS & Clearing and mutual funds also helped to increase the market size. Poudyal added, “The investors are also increasing lately with the continuity of share market activities.”

 

Transaction Rate Doubled

The transaction amount of total shares in the FY 2012-13 has increased by 114 per cent than of the FY 2011-2012. The share transaction was of Rs 10.27 billion in FY 2011-2012 which has reached up to Rs 22.4 billion in FY 2012-2013. 

 

Listed Companies Reached 230

The number of listed companies in the previous fiscal year has reached 230. Among the listed companies, there are 198 bank and financial institutions, 18 manufacturing and processing industries, 4 hotels, 4 commercial organisations, 4 hydro power companies and 2 other groups.  There were 216 listed companies in FY 2011-2012.