The rating indicates that the company has to offer a moderate degree of safety regarding timely servicing of financial obligations, in Nepal. Such issuers carry moderate credit risk.
The company is planning to issue 12 million units of ordinary shares at Rs 299 per unit including face value of Rs 100 and share premium of Rs 199.
Currently, the company has a paid-up capital of Rs 2.80 billion which will reach Rs 4 billion after the IPO issue.
In order to meet the minimum paid-up capital, the company is required to add further Rs 1 billion in its capital which it is planning to meet through rights or bonus share distribution.
