Companies that go public must reserve 10% of their shares for migrant workers. Migrant workers will now get at least 10 percent of the primary shares (IPOs) issued by the companies, according to the revised rules of the Securities Board of Nepal (SEBON).
On Thursday, SEBON implemented the Amended Securities Issue and Allotment Guideline 2022, which included a reservation scheme for migrant workers. Only migrant workers with legal work permits from the authorities will be eligible for this.
The regulator has directed the issue managers to adhere to a 15-day deadline when issuing shares to migrant workers.
The guideline states that “interested migrant workers must pay the subscription amount through the remittance saving account maintained in banks that are members of the Application Supported by Blocked Amount (ASBA) system.” Companies that go public must reserve 10% of their shares for migrant workers.
