The company is issuing 10 percent of ordinary shares of its issued capital to the locals of affected areas from July 20. The company that is supposed to close the IPO today, till August 18 has now extended the deadline till September 3.
It is issuing 1 million units of shares, out of which, 571,430 units will be issued to the most affected area Uttargaya Rural Municipality ward no 9. Similarly, it is issuing 285,720 units to Rural Municipality ward no 2,3,4 and 5 of Rasuwa District and ward no 5 of Kispang Rural Municipality, Nuwakot District. Likewise, it is issuing 142,850 units to remaining locals of Rasuwa District.
The interested investors can apply for a minimum of 10 and maximum of 10,000 units of shares.
Care Ratings has assigned BB rating to the issuer indicating moderate debt risks.
The company is promoting 14.3 MW Upper Mailung Khola Hydropower Project with total estimated cost of Rs 2.50 billion and per MW estimated cost of Rs 174.8 million.
The payback period of the project is 7.40 years while the discounted payback period is 12.76 years. the company has appointed Sanima Capital as issue manager. The locals of affected area can apply for the shares from the project site, Sanima Capital and designated branches of Sanima Bank and NMB Bank by paying Rs 2 per form.
