Bungal Hydro Limited Issuing IPO Shares to Locals of Bajhang District And Nepalese Employed Abroad From Ashadh 29
Sun, Jul 6, 2025 10:10 AM on Latest, IPO/FPO News,
Bungal Hydro Limited has published an offer letter to issue an Initial Public Offering (IPO) of 8,30,000 units of IPO shares to the project-affected locals of Bajhang District and 2,07,500 units of IPO Shares to Foreign Nepalese Immigrants.
The IPO issue for the locals and Nepalese citizens working abroad will open from the 29th Ashadh to the 11th Shrawan, 2082. Note that for the locals of Sankhuwasabha District, if the issue is not subscribed by the early closing date, the issue can be extended till Shrawan 26. However, the issue will not be extended to the early closing date for Nepalese citizens working abroad.
The issued capital of the company is Rs. 83 Crores. Of this, 35%, i.e., 2,905,000 unit shares, will be issued to the public. Out of the total issue capital, 10%, which amounts to 8,30,000 unit shares worth Rs. 8.30 Crores, will be allocated to project-affected locals of Bajhang district. The remaining 35% of the issued capital, i.e., 20,75,000 unit shares, will be offered to the general public at a later date.
Of this general public issue, 10%, a total of 2,07,500 unit shares, have been set aside for Nepalese citizens working abroad, and the issue for this category will open on the date mentioned above.
For the project-affected locals and Nepalese citizens working abroad, the minimum application quantity to be applied is 10 units, while the maximum quantity is 20,000 units.
Himalayan Capital Limited has been appointed as the issue manager for the IPO issuance.
ICRA Nepal has assigned a long-term rating of [ICRANP] LB- (pronounced ICRA NP L B minus) for the long-term loans and a short-term rating of [ICRANP] A4 (pronounced ICRA NP A four) for the short-term loans of Bungal Hydro Limited (BHL or the company).
Bungal Hydro Limited (BHL), incorporated on June 13, 2016, was developing the 10.70-MW Upper Sanigad Hydroelectric Project in Bajhang, Nepal. The project, a run-of-the-river type, had an estimated cost of NPR 2,867 million, financed through a 75:25 debt-to-equity ratio. As of mid-October 2022, BHL's paid-up capital was NPR 506 million, with major shareholders including Jalanjali Investment Pvt. Ltd. (28%), Barun Investment Pvt. Ltd. (14%), Jaya Ganesh Investment Pvt. Ltd. (13%), Shiva Shankar Investment Pvt. Ltd. (12%), and Bungal Hydro Investment Ltd. (12%), while 21% was held by other investors.
