If Book Building Isn't Adopted, the IPO Flood Will Sweep Away SEBON Chairman — Tilak Koirala
Investor Tilak Koirala has said the book building system must be made mandatory for IPOs. With over 600 companies in the IPO pipeline, he warned that SEBON cannot manage under the current system and that the chairman's position itself is at risk.
Share investor Tilak Koirala has said that book building must be mandatorily adopted for IPOs in the days ahead. Speaking on Arthasarokar's 'Investor's Voice' program, he claimed that if IPOs continue to be issued in the current traditional manner, the Nepal Securities Board (SEBON) will not be able to manage them.
According to Koirala, more than 100 companies are currently in the IPO pipeline, while an additional 500 companies are preparing to issue IPOs. In such a situation, he said, if the book building system is not adopted, the flood of IPOs will put the position of the SEBON chairman itself at risk.
'Currently, more than 100 companies are in the pipeline to issue IPOs. Another 500 companies are preparing to go for IPOs. If the book building system is not adopted, the IPO flood will take away the board chairman's position,' he said.
Koirala argued that the book building system determines prices based on demand and supply, increases institutional investor participation, and helps ensure sustainable development in the market.