Sarbottam Paints IPO Opens for General Public from June 11: Key Details for Investors

Nepal's leading paint manufacturer, Sarbottam Paints Industries Limited, is set to open its Initial Public Offering (IPO) to the general public from June 11, 2026 (Jestha 28, 2083). The company is offering 705,500 ordinary shares to retail investors after successfully completing allocations for foreign-employed Nepalis, mutual funds, and company employees.

The IPO presents an opportunity for investors to participate in one of Nepal's growing manufacturing companies as the country's industrial sector continues to expand.

IPO Details and Share Allocation

Sarbottam Paints had received approval to issue 850,000 ordinary shares, representing 25 percent of its issued capital of NPR 340 million.

The company has already allocated:

• 85,000 shares to Nepali citizens working abroad
• 42,000 shares to mutual funds
• 17,000 shares to company employees

The remaining 705,500 shares, worth approximately NPR 70.55 million, are now available for the general public.

How Investors Can Apply

Retail investors can apply for:

• Minimum: 10 shares
• Maximum: 5,000 shares

Applications can be submitted through:

• ASBA-approved banks and financial institutions
• Designated branch offices
• Online via Mero Share using the C-ASBA system

The IPO will remain open until June 16 (Ashadh 2). If the issue is not fully subscribed, the subscription period may be extended until June 25 (Ashadh 11).

Global IME Capital Appointed Issue Manager

The public offering is being managed by Global IME Capital Limited, one of Nepal's leading merchant banking and capital market institutions.

Credit Rating and Investment Outlook

For the IPO issuance, CARE Ratings Nepal has assigned Sarbottam Paints a CARE-NP BB- Issuer Rating.

The rating indicates a moderate level of risk regarding the company's ability to meet its financial obligations. While the rating reflects some investment risk, it also demonstrates the company's operational presence and growth potential in Nepal's manufacturing sector.

Growing Interest in Nepal's Manufacturing Sector

As Nepal's construction and infrastructure industries continue to grow, demand for paints and coatings has increased significantly. Sarbottam Paints has established itself as a recognized brand in the domestic market and aims to utilize the proceeds from the IPO to strengthen its future growth plans.

The IPO is expected to attract strong interest from retail investors looking to diversify their portfolios beyond the hydropower and banking sectors.