Barahi Hydropower IPO Collects Rs. 1.38 Arba From 12.16 Lakh Applicants Till Last Day; IPO Oversubscribed by More Than 26.92 Times

Barahi Hydropower Public Limited had issued 5,54,000 units of shares worth Rs. 5.54 crores to the general public as a part of their Initial Public Offering (IPO) from Mangsir 21 till Mangsir 26, 2079 (today).

Out of the total 5,54,000 units; 2% of the total offered shares i.e. 11,080 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 27,000 units have been set aside for the mutual funds. The remaining 5,15,920 units were for the general public. The paid-up capital of the company will reach Rs. 25 Crores after the IPO issuance.

According to CDSC, 12,16,153 applicants have applied for a total of 1,38,71,220 units worth Rs. 1.38 Arba till the end of banking hours today. Thus, the IPO was oversubscribed by more than 26.92 times in terms of the number of units through ordinary applicants as of closing day.

NIBL Ace Capital is appointed as the issue manager for the IPO issuance. Applications can be placed for a minimum of 10 units and a maximum of 10,000 units.

ICRA Nepal has assigned an issuer rating of [ICRANP-IR] B- (pronounced ICRA NP issuer rating B minus) to Barahi Hydropower Public Limited (BHPL/the company). Issuers with this rating are considered to have a high risk of default regarding the timely servicing of financial obligations.

Incorporated in April 2006, as a private limited company, Barahi was converted to a public limited company in March 2015, to facilitate public participation. The company is operating a 1.5-MW Theule Khola HEP, in Baglung district, Gandaki Province of Nepal since July 8, 2018; five years later than the required commercial operation date (RCOD) of May 10, 2013, at a cost of NPR 374 million funded in a debt-to-equity mix of ~52:48. The project is a run of the river (R-o-R) type and has been developed at 40% probability of exceedance (Q40).