Kathmandu. Bungal Hydro Limited is going to issue an IPO from September 15. The company is now issuing the IPO for the general public after distributing the IPO issued for the local residents of the project-affected areas and Nepalis in foreign employment.
The company had received permission to issue 2.9 million units of shares worth Rs 290.5 million i.e. 35 per cent of the issued capital of Rs 830 million. Out of this, 830,824 units of ordinary shares have been issued to the local residents of the project-affected areas and 207,500 units of ordinary shares have been issued and distributed for Nepalis employed abroad after obtaining labour clearance from the concerned authorities of the Government of Nepal.
Similarly, the company has reserved 103,750 units of ordinary shares for mutual funds and 62,250 units for employees.
In the second phase, the company is issuing 1,701,500 units of ordinary shares worth Rs 171.5 million to the general investors with a face value of Rs 100 each.
Applications can be made for a minimum of 10 units and a maximum of 20,000 units. Applications for the IPO can be submitted at the earliest till September 15 and the application can be submitted till September 30.
Care Rating Nepal has given careNP single B issuer rating to the company in the rating made for the IPO issue. This indicates that there is an average risk in the company’s ability to bear liabilities.
Himalayan Capital Limited is the issue manager of the company. General investors can apply through the C-ASBA system from all C-ASBA member banks and financial institutions and their designated branch offices approved by the Securities Board of Nepal. Apart from this, they can also apply through the C-ASBA system using the software My Share online made by CDS and Clearing Limited.
