How to apply for an IPO in Nepal (Mero Share + C-ASBA).

The four steps

1. Open a DEMAT account

A DEMAT account holds your shares in electronic form. You can open one at almost any Nepali commercial bank (they're all CDSC depository participants) or directly through a licensed broker. Requirements: citizenship copy, passport-sized photo, and a small one-time fee (typically NPR 100 to 500 setup, NPR 100/year maintenance). Most banks complete DEMAT opening the same day if you walk in with documents.

2. Register on Mero Share

Mero Share is the online portal that CDSC operates for IPO applications. Visit meroshare.cdsc.com.np, create an account using your DEMAT and bank details, and submit the registration. Verification takes a day or two; once approved you'll get a username and PIN. Mero Share is the only legal channel to apply for IPOs in Nepal; there are no third-party shortcuts.

3. Link a C-ASBA bank

Inside Mero Share, you link a bank account as your C-ASBA bank. This is the account that the IPO application money will be blocked in. C-ASBA stands for Centralised Application Supported by Blocked Amount. Instead of paying upfront, the money stays in your account but is frozen until allotment. If you don't get shares, the freeze is released; if you do, the bank debits the allocated amount.

4. Apply during the offer window

When an IPO opens (typically a 4 to 5 day window), log into Mero Share, find the issue in the My ASBA section, enter the application units (minimum 10 in most issues, maximum set per issue), choose your C-ASBA bank, and confirm. You'll receive an SMS confirmation from your bank that the application amount is blocked. That's it. No upfront payment, no broker fee for the application itself.

What happens after you apply

• The block: The application amount stays in your bank but earns no interest while frozen. Typically it's released or debited within 7 to 15 business days after the issue closes.
• Allotment lottery: Most NEPSE IPOs are heavily over-subscribed. The issue manager runs a public lottery, audited by SEBON. If you're in the small lucky pool, you get the minimum 10-unit allotment. A small chance of more for larger applicants.
• Result publication: Allotment results are pushed to Mero Share. You see "Allotted: 10 / Applied: 30" or "Not allotted." Bank releases unfilled blocks within a couple of business days.
• Listing on NEPSE: Allotted shares appear in your DEMAT and start trading on NEPSE within a few weeks of the IPO closing. The opening price is set by a book-building auction on listing day, after which the security trades like any other.

FPO vs IPO vs right share

All three are applied for through Mero Share, but they differ in who's eligible:

• IPO (Initial Public Offering): open to the general public. The company's first share sale.
• FPO (Follow-on Public Offering): open to the general public. The company has already been listed and is selling more new shares to raise capital.
• Right share: open only to existing shareholders, on a date specified in advance (the book-closure date). If you hold the stock as of book-close, you're entitled to apply for new shares in a fixed ratio (e.g. 1:2, one new share for every two you already hold). If you don't apply, the right lapses.

How Punji helps

Punji's Issues feed lists every open and upcoming IPO, FPO, right share, mutual fund and auction in one filtered feed, with the offer window, issue manager and prospectus link. Add your Mero Share login once and you can apply across all your accounts in one go (and check allotment results for every account by name) without leaving the app. Your logins stay safe on your phone and are never sent to Punji. See bulk IPO apply & results for how it works and the security behind it. The issues feed is free to use.

Once allotted, add the holding to your portfolio and Punji will track P&L from the IPO price forward, applying NEPSE-correct broker commission, SEBON fees and capital gains tax bands when you eventually sell.