Ridge Line Energy Limited Concludes IPO Allotment for Project-Affected Locals of Gorkha and Lamjung

The IPO allotment for Project-Affected Locals of Gorkha and Lamjung by Ridge Line Energy Limited was concluded today, 14th Magh, 2082.

The issued capital of the company is Rs. 1.18 Arba. Of this, 22%, i.e., 26,07,000 unit shares, will be issued to the public. Out of the total issue capital, 10%, which amounts to 11,85,000 unit shares worth Rs. 11.85 Crores, was allocated to project-affected locals of Gorkha and Lamjung districts. The remaining 10% of the issued capital, i.e., 14,22,000 unit shares, will be offered to the general public at a later date.

Of this general public issue, 10% of 14,22,000, a total of 1,42,200 unit shares, were allocated for Nepalese citizens working abroad. Of the general public issue, 2%, i.e., 28,440 units, have been set aside for the company's employees, and 5% of the total offered shares, i.e., 71,100 units, have been set aside for the mutual funds. The remaining 11,8260 units are for the general public and will be opened later.

The issue received a total of 4,043 valid applications for 21,04,530 units. Meanwhile, 17 applications for 4,810 units were disqualified.

According to the allotment module, 3,354 applicants who applied for 10–550 kitta received a total of 772,960 units, while 689 applicants applying for 600–20,000 kitta were allotted 590 units each a total of 406,510 units, and an additional 553 applicants in the same category received 10 units each.

Allotment Module:

The IPO result accessed by CDSC IPO Result, MeroShare, and Prabhu Capital Limited.

Prabhu Capital Limited has been appointed as the issue manager. 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 50,000 units.

CARE Ratings Nepal Limited (CRNL) has upgraded Ridge Line Energy Limited’s issuer rating to CARE-NP BB (Is) from CARE-NP BB- (Is), indicating a moderate risk of default. Similarly, the rating for the company’s long-term bank facilities has also been upgraded to CARE-NP BB from CARE-NP BB-.

Ridge Line Energy Limited (RIDGE), incorporated on December 28, 2017, as a public limited company, has been established by individual promoters to develop the 9.05 MW Super Chepe Hydropower Project (SCHP). The project is being executed under the “BOOT” (Build, Own, Operate and Transfer) model and is situated in Ajirkot Rural Municipality of Gorkha District, Nepal.