Kathmandu. The deadline to apply for the IPO of Shikhar Power Development Limited has been extended. The company had opened the IPO for the locals of the project-affected areas from January 6. Applications for the IPO of the company can now be submitted till February 22. However, the company has said that the issuance and sale will be stopped at any time before the demand is exceeded.
The issued capital of the company is Rs 98 crore. The company was allowed to issue 65 percent i.e. 3.2 million units of shares worth Rs 32 crore. Out of the total paid-up capital, 10% of the issued capital i.e. 980,000 units of ordinary shares at the rate of Rs 100 per share will be issued to the locals of the project affected area on the basis of the details mentioned in the Environmental Impact Assessment Report (EIA) and the power generation license.
Locals of ward no 1 to 10 of Badigad Rural Municipality and Dhorpatan Municipality Ward No. 2 of Baglung district can apply for the shares.
Applications can be place for minimum 10 units and maximum 1000 units.
ICRA Nepal has assigned ICRA NP Issue Rating Double ‘B’ to the company. This indicates that there is a moderate risk to the company’s ability to meet its financial obligations.
Global IME Capital Limited has been appointed as the issue manager for the IPO issuance. The local people can collect the application forms from Global IME Bank’s Burtibang and Baglung branch, Prabhu Bank’s Badigad branch, Garima Bikas Bank’s Burtibang branch and Shine Resunga Development Bank’s Burtibang branch. The locals of the project-affected areas have to pay Rs 2 per application fee to receive the application form.
