Api Power Company (API) allots shares to applicants of 1:0.47 rights issue: Remaining 13,46,218 units to be auctioned

Api Power Company Limited (API) has allotted it's 1:0.4761 ratio right share to its shareholders on 21st Mangsir, 2077.

The hydropower company closed the issue of right shares on Mangsir 04. The issue of right shares totaling 56,70,000 units was open from 14th Kartik. Only 43,23,782 shares are allotted. Thus, the remaining 13,46,218 units will be auctioned.

As of now, the company's paid-up capital is Rs. 119.07 crores. After this issue, the paid-up capital will be Rs. 175 crores.

The company is issuing the right shares to generate capital for the construction of the third project, the Upper Chameliya Hydropower Project with a 40 MW capacity. The project will generate 26.41 crores of units of electricity annually. Of the electricity generated, 30 percent will be generated in six months of winter and the remaining 70 percent in six months of rain. In the first year, Rs. 162 crores revenue will be earned.

A total of Rs. 740 crore is estimated to be the cost of the project. The company will cover 30% of the total cost by issuing rights shares to its shareholders in two stages. The rest 70% will be borrowed.