Nepal Hydro IPO collects around 1.50 arba from 1.73 lakh applicants till last day; Pokhara Finance FPO collects Rs 41.99 crore from 28,040 applicants in 3 days

- ShareSansar, August 17, 2017  on Featured , FPO News , IPO News , Latest , Stock Market

Nepal Hydro Developer Limited had issued 3,90,000 unit shares worth Rs 3.90 crore as part of its Initial Public Offering (IPO) for the general public from Shrawan 27, 2074 till Shrawan 32, 2074  at face value of Rs 100 per share. The IPO has been oversubscribed by more than 41.35 times till  last day.

As per the official of NMB Capital Limited, the issue manager for the IPO, “the issue has collected around Rs 1 arba 50 crore till last day. Around 1 lakh 73 thousand application forms were received.”

Out of total 1.73 lakh applicants, only 36,270 applicants will get 10 units each. The fate of allottees will be decided through lottery.

On the fourth day only, the IPO has collected Rs 69 crore 80 lakh from around 84,553 applicants. It is only tentative data, final data may vary, added the official.

Interested people were required apply for a minimum of 50 units of share and they can apply for up to 1,000 units of share. The hydropower company has set aside 2% or 7,800 unit shares for its employees and 5% or 19,500 unit shares for the 11 mutual fund companies. The company has set aside 3,62,700 units shares for the general public.

The authorized capital of the company is Rs 60 crore. The paid up capital of the company remains at Rs 22.10 crore. After the IPO for the general public, the paid up will reach 26 crore.

After this IPO, the promoter, people of affected area (Dolakha district) – public shareholding ratio of the company will be 75% to 10% to 15%.

ICRA Nepal has assigned “[ICRANP] IPO Grade 4” grading to the upcoming Initial Public Offering (IPO) of Nepal Hydro developer, indicating below average fundamentals.

Nepal Hydro Developer Limited has developed a 3.52 MW Charanwati Hydroelectric project in Dolakha district with an annual energy generation of 37.29 GW hr. It had earlier floated 2,60,000 units shares worth Rs 2.60 crore as part of its Initial Public Offering for the locals of Dolakha district on Mangsir 26, 2073.

Similarly, Pokhara Finance Limited (PFL) has been issuing its Further Public Offering (FPO) of 9,83,682 units shares worth Rs  21.64 crore at Rs 220 per unit from Shrawan 29, 2074. Today is the last day of the FPO. The FPO has been oversubscribed by more than 1.94 times till third day

Badri Pyakhurel, Merchant Banking Head of NIBL Capital Market Limited said, “The issue has collected Rs. 41 crore 99 lakh till third day. Tentatively around 28,040 application forms were received.”

The FPO applications will close tomorrow (Bhadra 1, 2074). The maximum closing date for the offer is Bhadra 7, 2074.

Interested people must apply for a minimum of 10 units of shares and they can apply for up to 4,900 units shares.

NIBL Capital Markets Limited is the issue manager for the FPO.

ICRA Nepal has assigned IPO Grade 4 to this FPO indicating below-average fundamentals.

After the FPO, its paid up capital will reach around Rs 65.57 crore and its promoter – public shareholding structure will be maintained at 51% and 49%. Its reserve will grow by Rs 11.80 crore. Finally, after proposed 15% right share issuance, its paid up capital will reach Rs 75.40 crore. As a national level finance company, it should hike its paid up capital to a minimum of Rs 80 crore by the end of FY 2073/74.