- NewBiz Report

The Nepali investment landscape has witnessed a surge in investment deals in recent months. NIBL Equity Partners has entered into separate investment agreements with Jagdamba Spinning Mills and Delish Dairies, while Nepal Life Insurance Company (NLIC) has acquired stakes in two educational institutions. Likewise, Avasar Equity has invested in Litmus Industries.

NIBL Equity Partners Invests in Jagdamba Spinning Mills & Delish Dairies

NIBL Equity Partners has signed an investment agreement with Jagdamba Spinning Mills to strengthen its position as a leading yarn manufacturer and boost its profitability. The spinning mill plans to go public in the near future which will enable it to expand its capacity by around 40%.

"We are committed to supporting the growth of sustainable businesses in Nepal, which in turn boosts the economy and creates employment opportunities within the country," Shivanth Bahadur Pande, CEO of NIMB Ace Capital, said. Jagadamba Spinning Mills operates two plants with a combined daily production capacity of 50 tonnes of yarn. Nearly 95% of its production is exported, primarily to the Indian market. The company also has plans to diversify its exports to the South Asian region. NIBL Equity Partners has also signed a definitive agreement to invest Rs 95 million in Delish Dairies. This partnership, signed in Kathmandu on July 15, supports Delish Dairies' ambitious goal of becoming a national leader in modern, high-quality dairy products, according to a statement issued by the company.

The fresh investment will enable Delish Dairies to expand its production capacity, increasing its current processing capability to 10,000 litres of milk per day. It will also enhance Delish's distribution networks, allowing the company to reach a broader audience and prepare for a future initial public offering (IPO), the company added in the statement. 

Avasar Equity Invests in Litmus Industries 

Avasar Equity Diversified Fund (AEDF) has invested in Litmus Industries Limited - one of the leading names in the cables & conductors industry in Nepal. Litmus manufactures a wide range of high-quality, efficient and durable wires, cables and conductors using advanced German technology from its plant in Butwal Industrial Estate of Lumbini Province. It has a production capacity of over 72,000 kilometre per annum (KMPA) and is setting up a new manufacturing facility in Parasi to expand the current capacity and product offerings. With the proposed expansion, the company will be strategically positioned to expand its product offering to include Cross-Linked Polyethylene (XLPE) Cables, High Temperature Low Sag (HTLS) Conductors, All Aluminium Alloy Conductors (AAAC) and Medium Voltage (MV) Cables. 

NLIC, Professional Educators Sign Equity Investment Agreement

Nepal Life Insurance Company (NLIC) has signed investment agreements to acquire stakes in two companies involved in the education sector. On July 21, Nepal Life Insurance Company (NLIC) signed an equity investment agreement with Professional Educators Ltd. This is the first investment by an insurance company in Nepal’s education sector. According to the agreement, NLIC will invest Rs 737.3 million for a 35.32% stake in Professional Educators Limited and Rs 600 million for a 47.62% stake in Uniglobe Higher Secondary School. NLIC Chairperson Govind Lal Sanghai stated that the investment complies with regulatory guidelines and aims to positively impact the nation through the education sector. Likewise, NLIC CEO Pravin Raman Parajuli emphasised the company's commitment to investment diversification and achieving high returns.