April 17: Two companies that had acquired permission to issue the Initial Public Offering (IPO) have not been able to issue them due to the extension of the lockdown imposed to contain the spread of coronavirus.

NRN Infrastructure and Development Limited, a company promoted by the Non  Residential Nepalis (NRNs) and NIC Asia Microfinance Company have not been able to issue their IPO due to the ongoing lockdown.

Sanima Capital, which has been assigned to issue the IPOs of both the companies, has not been able to do so owing to the current crisis.

Mandeep Luitel, investment banking chief of Sanima Capital, confirmed that the company has not been able to issue the IPOs because of the lockdown. According to him, NRN Infrastructure and Development Limited was due to issue the IPOs on April 10 while NIC Asia Microfinance was scheduled to issue the IPOs on April 14. But the process has been halted.

The Securities Board of Nepal (SEBON) had approved the issuance of 33,98,046 units of IPO of NRN Infrastructure and Development Limited. The issued capital of the company is Rs 1.13 billion, out of which 30 percent share was to be opened for the general public.

Likewise, NIC Asia Microfinance was set to issue IPOs worth Rs 470 million. Both the companies had received the approval more than a month ago.