Maya Khola Hydropower's IPO to open for public

Published On: November 30, 2022 05:00 PM NPT By: Republica | @RepublicaNepal

KATHMANDU, Nov 30: Maya Khola Hydropower Company Limited is going to open the sale of ordinary shares for locals and Nepalis living abroad. In the first phase, the company is going to open the issue and sale of 1.2 million shares of initial public offering (IPO) from December 9 at the rate of Rs 100 per share.

The company has allocated a total of one million shares for the local residents affected by the project out of a total of 3.4 million ordinary shares worth Rs 34 million, which is 34 percent of its issued capital of Rs 1 billion. Similarly, the company said that 10 percent of the shares to be issued to the general public, i.e. 240,000 shares, is going to be issued to Nepalis who are employed abroad.

60 percent of the shares issued by the company to the residents of the project-affected areas, i.e. 600,000 shares, have been allocated for the residents of Chainpur Municipalities-8 and 9, Dharmadevi Municipality-3, 4 and 5 and Madi Municipality-4 and 6 of the project-affected areas. Similarly, it is mentioned in the public invitation letter that 40 percent of 400,000 shares will be issued for those living in other areas of Sankhuwasabha, except for the areas that are highly affected by the project. In the shares to be issued, the local residents affected by the project can apply for the purchase of a minimum of 10 shares to a maximum of 100,000 shares as soon as possible until December 23, and if no application is received during that period, it will be valid until January 8. Likewise, Nepalis who are employed abroad can apply for the purchase of a maximum of 50,000 shares until December 23.

In the shares to be issued, local residents can apply for the purchase of shares from Prime Commercial Bank, Nepal SBI Bank, Prabhu Bank, Global IME Bank and Himalayan Bank designated branch offices and project construction company offices and the company's securities issuance and sales manager Prabhu Capital Limited. Likewise, Nepalis working abroad have arranged to apply for share purchase through the 'C-ASBA' system from ASBA member banks and financial institutions approved by the Nepal Securities Board and their designated branch offices. The company has been awarded a [ICRANP-IR] BBB- certificate by ICRA Nepal.

The company has constructed the 14.9 MW Mayakhola Hydropower Project in Maya Khola of Dharmadevi Municipality of Sankhuwasabha.