KATHMANDU, Dec 13: The Securities Board of Nepal (SEBON) has issued instructions to notify one month in advance of the expiration of the lock-in period for shares traded in the capital market.
Ambika Prasad Giri, Deputy Executive Director of the SEBON, stated that SEBON sent a letter on Monday to Nepal Stock Exchange Limited (NEPSE), CDS and Clearing Limited, and all organizations listed in NEPSE.
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Founders and locally affected shareholders of NEPSE-listed organizations are permitted to trade shares in the secondary market only after a specific period, known as the 'lock-in period.' In accordance with Monday's board instructions, organizations are now required to inform at least 30 days before the conclusion of the specified 'lock-in period' so that shares of the founding group and other groups cannot be sold.
SEBON emphasized that this directive aims to ensure the effective implementation of 'lock-in' arrangements and to inform general investors about it. The listed organization must communicate the opening period of the 'lock-in period' to SEBON, Nepal Stock Exchange, and CDS and Clearing Limited, as outlined in the instructions.
