Opening Range Of Muktinath Krishi Company

Muktinath Krishi Company (an associate company of Muktinath Bikash Bank) is a pioneer and the first public agricultural company established with the aim of playing a managerial role in the overall agricultural value chain through the "Krishak sanga Muktinath" and "Upabhoktaa sanga Muktinath" campaigns, with the goal of improving Nepal's agricultural economy. The company was established in 2075 with a 22.2% investment from Muktinath Bikash Bank, a 57.8% share held by 901 promoters involved in various business sectors of Nepal, and 20% from public shares. This company is actively involved in various activities to increase agricultural productivity and consumer welfare, offering more than 450 products and services required in the field of agricultural production.

Muktinath Krishi Company's total capital is 70 crore rupees, of which the company issued an IPO of 14 crores, constituting 20% of the total company capital. Out of the total 14,00,000 units issued, 10% (1,40,000 units) has already been allocated to Nepalese citizens working abroad. Additionally, 3% (42,000 units) has been reserved for the employees of the company, and 5% of the total offered shares, equivalent to 70,000 units, has been set aside for mutual funds. The remaining 11,48,000 units are earmarked for the general public.

The company's opening range is contingent on the audited book value of the company. As per the FY 2078/79, the audited book value of the company is Rs. 76.81. Hence, the opening range will be Rs. 76.81 to Rs. 230.43.

ICRA Nepal has reaffirmed the issuer rating of Muktinath Krishi Company Limited at [ICRANP-IR] BB- (pronounced ICRA NP Issuer Rating Double B minus). Issuers with this rating are considered to have a moderate risk of default regarding the timely servicing of financial obligations.