Kathmandu. Super Khudi Hydropower Limited is set to open its initial public offering (IPO) from January 22. 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 20% of the issued capital of Rs 1.55 billion i.e. 3.1 million units of shares. Out of the offered, 15,50,000 units of ordinary shares worth Rs 15.5 crore each will be issued to the locals of the project-affected area.
Out of the total offered shares, 40% or 620,000 units will be set aside among the residents of Ward No. 2 and 3 of Marsyangdi Rural Municipality while the remaining 60% or 930,000 units will be distributed to the residents of Ward No. 1, 4, 5, 6, 7, 8 and 9.
Likewise, 1,55,000 units of ordinary shares worth Rs 100 per share worth 10% of the total amount of shares allotted to ordinary investors will be issued to Nepalese working abroad after obtaining labour permit from the concerned body of the government.
Applications can be place for minimum 10 units and maximum 1,000,000 units. The last date for application is January 6 and the last date for application is February 21.
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.
Global IME Capital Limited has been appointed as the issue manager for the IPO issuance. The local people can bid for the shares from Prabhu Bank, Global IME Bank, Agricultural Development Bank, Prime Commercial Bank and Himalayan Bank’s Bhulbhule branch. Locals of the project-affected areas have to pay Rs 2 as application fee for the share purchase application.
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.
