Shikhar Power IPO Sets Record with 2.76 Million Applicants, Highest in Nepal’s IPO History

Shikhar Power Development Limited has made history in the Nepali share market. Its Initial Public Offering (IPO) for the general public, which closed on Tuesday (Falgun 26, 2082), has recorded the highest number of applicants ever seen in a single public issue.

According to the final data from CDS and Clearing Limited (CDSC), a staggering 2,767,114 applicants submitted their bids for the company’s shares. This overwhelming response highlights the continued growth and massive interest of retail investors in the hydropower sector.

The company's issued capital was Rs. 98 Crores. Of this, 32.65%, i.e., 32,00,000 unit shares, were issued to the public. Out of the total issued capital, 10%, which amounts to 9,80,000 unit shares worth Rs. 9.80 Crores, were allocated to the Environmental Impact Assessment Report and the Power Generation License project-affected locals, and the project's power transmission line-affected locals of Baglung District. The remaining 22.65% of the issued capital, i.e., 22,20,000 unit shares, were offered to the general public. The shares were offered at a par value of Rs. 100 per unit.

Of this general public issue, 10% of 22,20,000, a total of 2,22,000 unit shares, were set aside for Nepalese citizens working abroad, 2%, i.e., 44,400 units, were set aside for the company's employees, and 5% of the total offered shares, i.e., 1,11,000 units, were reserved for mutual funds. The remaining 18,42,600 units were issued for the general public, and the application period has already closed.

Global IME Capital Limited was appointed as the issue manager for the public offering.