Now
days the new word Book Building has become very famous to the share investors of Nepal. So in this article we are
going to clear about the confusion about the Book Building

 

What is Book Building?

 

Book
Building is the process of creating the price of Initial Public Offering (IPO)
Shares in which a company hires a merchant bank to decide the price of IPO. In
this process, the bank is responsible to research the issuing company and
come with a price range for the IPO of the company. The merchant bank will
prepare the prospectus and call the investors to apply on IPO when the price range
will be decided.

 

Press announcement of Security Board of Nepal

 

The
Security Board of Nepal has made the press release of the published the press
release about the application of the book-building system on the initial public
shares issuance.

बुक विल्डिङ्ग निर्देशिका, २०७७