Kathmandu, April 10
The Securities Board of Nepal (SEBON) has lowered the registration fees levied while submitting applications for initial public offering and further public offering under Application Supported by Block Account (ASBA).
Amending the Securities Issue Guidelines, the securities market regulator has allowed banks to charge only up to Rs 100 henceforth, reducing the earlier applicable charge of Rs 250 per application. The amended guideline has removed the provision requiring submission of three per cent of the total fees collected by the issue manager to the SEBON. The issue manager cannot charge more than Rs 10 per application, as per the amended provision of the guidelines.
The amended guideline has also inserted the provision to allow government banks to obtain membership of ASBA in a bid to expand service to all 75 districts. Earlier, only public-listed banks were eligible to apply for the ASBA membership. Following the amendment, the government-owned Rastriya Banijya Bank will also be able to take ASBA membership. As per SEBON officials, Rastriya Banijya Bank will provide service from Mugu and Bajura as no other banks have been providing the ASBA service in these two districts till date.
The amended guideline has also shortened the application form verification process. Likewise, service providers would need to make application form easily available through their website.
A version of this article appears in print on April 11, 2017 of The Himalayan Times.