Kathmandu. Ridge Line Energy Limited is going to open the IPO from December 27. In the first phase, the company is issuing IPO to the locals of the project-affected areas and the Nepalis who are employed abroad.
The company was allowed to issue 26,07,000 units of shares worth Rs 260.7 million i.e. 22 percent of the issued capital of Rs 1.18 billion. Out of the total offered shares, 11,85,000 units of ordinary shares worth Rs 11.85 crore will be issued to the locals of the project-affected areas.
The interested bidders can apply for the IPO from all wards of Ajirkot Rural Municipality of Gorkha and Ward No. 1, 2, 3 of Dudhpokhari Rural Municipality and Ward No. 4, 5 and 6 of Dordi Rural Municipality.
The company is issuing 1,42,200 units of ordinary shares at a face value of Rs 100 per share i.e. 10% of the total amount of shares to the general public.
Applications can be place for minimum 10 units and maximum 50,000 units. The local residents of the project-affected areas can apply till January 12 at the earliest while the last date for the application is January 28. Similarly, Nepalese working abroad can apply for the post till January 1 and January 1 at the latest.
Care Ratings Nepal has assigned CareNP Double B Issuer rating to the company. This indicates that there is a moderate risk to the company’s ability to meet its obligations.
Prabhu Capital Limited has been appointed as the issue manager for the IPO issuance. Nepalese who are on foreign employment can apply for the ASBA system from the banks and financial institutions participating in the ASBA service after obtaining permission from the Securities Board of Nepal.
Moreover, the interested bidders can bid for the shares from Ridge Line Energy, Gorkha, Prabhu Capital, Kamaladi, Chepetar and Palungtar branch of Prabhu Bank. Similarly, the people can also apply by visiting the online link of https://ipoapply.prabhucapital.com created by Prabhu Capital Limited. Locals of the project-affected areas have to pay Rs 2 as application fee for the share purchase application.
