Trade Tower Limited has announced an Initial Public Offering (IPO) exclusively for Nepalese citizens working abroad. The IPO of Trade Tower is opening today, 8th Baishakh, and will remain open until 22nd Baishakh, 2082. Applications must be submitted within this period, as the deadline will not be extended.
Key Share Allocation Details
Note: Unsold shares reserved for employees, foreign workers, or the collective fund will be offered to the general public.
Key Highlights of the IPO
- Total Capital: Rs. 81.56 crores.
- Public Issue: 48.696% (39,71,693 units worth Rs. 39.71 crores).
- Investment Range: Apply for 10 to 1,000 units per applicant.
- Issue Manager: LS Capital Limited.
- Eligibility: Nepalese citizens abroad with valid labor permits.
- Ownership: Over 350 promoters currently hold 100% shares, but post-IPO, their stake will reduce to 51%.
Utilization of the IPO Raised funds
Purpose of the Trade Tower IPO Issue
Net Worth Details of the Company
Issuer Rating of Trade Tower
As per this prospectus, the ordinary shares to be publicly issued have been rated “[ICRANP-IR] BB-” by ICRA Nepal Ltd., authorized by the Securities Board of Nepal under Rule 3 of the Credit Rating Regulations, 2068. This rating, reaffirmed on January 20, 2025, indicates a moderate risk of default in timely financial obligations. ICRA Nepal’s ratings range from [ICRANP-IR] AAA (strong) to [ICRANP-IR] D (weak), with “+” or “-” showing position within the category. Details are in Clause Ga.22 (ta), page 51.
- Rating Date: Jan 20, 2025 (2081/10/07)
- Valid Until: Jan 20, 2026 (2082/10/07)
About Trade Tower Company (TTL)
The Company was established in 2007 and is a leading Nepali enterprise specializing in leasing, financing, and infrastructure development. Under the visionary leadership of Chairman Mr. Shiva Hari Dangal, the company has transformed from its origins as Kanchanjunga Housing Limited into a dynamic player in housing, hospitality, and commercial real estate.
Key Ventures & Achievements:
- Trade Tower, Thapathali: A landmark commercial complex in Kathmandu, operational since 2011. Built on a 32-year leasehold from Nepal Food Corporation, it has delivered consistent rental income for over a decade, establishing itself as a reliable revenue stream.
- Crystal Hotel, Gaushala: A luxurious 3-star hotel with 90 rooms, partially operational since April 2024. This venture significantly boosts the company’s earnings while enhancing Nepal’s hospitality sector.
- Bhaisepati Public Housing Project: A completed residential initiative that catered to urban housing needs, with all units sold to satisfied clients.