Greenlife Hydropower IPO for locals remains unsubscribed by 96%; tomorrow is the last date of the issue

Sun, Mar 10, 2019 4:49 PM on IPO/FPO News, Latest, Stock Market,
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Greenlife Hydropower Limited has been issuing 1,800,000 units shares as Initial Public Offering (IPO) for the locals of Dolkha district from Magh 22, 2075. The application can be placed till Falgun 27, 2075 i.e. tomorrow.

The hydropower company is issuing 30% i.e. 540,000 units for the locals of Gaurishankar Rural Municipality ward no. 7, 40% i.e. 720,000 units for the locals of Gaurishankar Rural Municipality ward no. 5, ward no. 6, ward no. 8 and 9 and remaining 30% i.e. 540,000 units for the locals of Gaurishankar Village Municipality ward no 1 and 2 and ward no 3 and 4 along with locals of Bigu Village Municipality ward no 4.

Kathmandu Capital Market Limited has been appointed as the issue manager for the IPO issuance. As per the issue manager, the issue has received applications from 762 applicants who have applied for a total of 72,103 units. Almost 96% of the issue still remains undersubscribed. However, the mentioned data is only collection till today morning as per the issue manager.

Care Ratings Nepal has assigned Grade 4 rating to the IPO issuance indicating below average fundamentals.

The hydropower company has been operating Khani Khola 1 Hydropower Project in Marbu VDC of Dolakha District. After the issuance to locals, the hydropower company will be issuing 18 lakh unit shares as IPO for the general public as well.

Currently, the paid up capital of the hydropower company stands at Rs.1.44 Arba which will reach Rs.1.80 Arba after issuance of IPO to both locals and general public. With this, the promoter-public shareholding ratio will be maintained at 80:20.