API Power plans to float IPO worth Rs 39.4 crore soon

ShareSansar, August 15:

API Power Company Limited is planning to float its Initial Public Offering (IPO) worth Rs 39.4 crore to both the locals of the project area as well as the general public soon.

Officials of the company, which is also promoted by the promoter of Arun Valley Hydropower Development Company Limited (AHPC), said this at the just concluded 11th Annual General Meeting of API Power at the Trade Tower Business Center in Thapathali, Kathmandu.

The AGM has endorsed a proposal float primary shares worth Rs 10 crore to the locals and Rs 29.4 crore to the general public to raise the paid-up capital of the company to Rs 100 crore.
During the AGM, Chairman of the company Guru Prasad Neupane informed that the IPO is expected to be approved by Securities Board of Nepal (SEBON).

API is promoting the construction of 8.5 MW Naughad Hydropower Project , which is now about to be completed by Makalu Developers,  at Darchula District, Mahakali Zone of Far-western region, Neupane further informed.

The construction of the project was started on Jestha 2070, is being financed by local Nepalese commercial banks and financial institutions.

This project will be connected to 132 KVA Attariya-Balanch substation which is very close to Chameliya hydropower project being developed by Nepal Electricity Authority.

According to API officials, the accessibility of the project site is very good with black topped road till the intake site of the project, and that it has a good connection of electricity facility as well the local materials are easily available, making it easy to work in a good pace.

They have request the government for increment in the Power Purchase Agreement rates so that the potential independent developers like API Power Company can initiate many more small-scale power projects in the days to come.

API is also planning to construct 8 MW Upper Naugadh project and 24.5 MW Upper Chameliya project, accordingly to Neupane.

Currently API Power has 1009 promoter shareholders.