The company closed its book on June 16 for the right issue, thus, the shareholders registered in its book till June 15 are eligible to apply for the right shares.
The company is issuing 8,221,459.7174 units of right shares at a face value of Rs 100.
ICRA Nepal has assigned BB rating to the issue indicating moderate risks.
The company has appointed Muktinath Capital Markets as issue manager. Interested existing shareholders can apply from Muktinath Capital and designated branches of Muktinath Bikas Bank. Moreover, they can apply from all C-ASBA approved BFIs and Meroshare.
Currently, the company has a paid-up capital of Rs 1.64 billion that will reach Rs 2.46 billion after the right issue.
The company is operating 7.5 MW Indrawati 3 Hydropower Project on Indrawati River at Sindhupalchowk District. Similarly, it is developing cascade project 4.5 MW Lower Indrawati Hydropower Project on the same river. Moreover, Lower Ikhuwa Hydropower Company which has major holding of the company is also developing 14.15 MW Lower Ikhuwa Khola Hydropwoer Project in Bhojpur District.
The company also acquired Sunkoshi Hydropower at a swap ratio of 1:0.25. Following the cancellation of license for Lower Indrawati Hydropower Project carried out by Sunkoshi Hydropower, National Hydropower has made payment for loans taken for the project. National Hydropower after acquiring the license from the government through auction bid, is preparing to develop the project.
The company is planning to mobilize the fund collected from right issue to construct the same project.
