Him Star Urja Company Limited Issuing IPO Shares to Locals of Okhaldhunga & Solukhumbhu District And Nepalese Employed Abroad From Jestha 30

Him Star Urja Company Limited has published an offer letter to issue an Initial Public Offering (IPO) of 1,86,500 units of IPO shares to the project-affected locals of Okhaldhunga and Solukhumbhu District and 93,250 units of IPO Shares to Foreign Nepalese Immigrants.

The IPO issue for the locals and Nepalese citizens working abroad will open from the 30th Jestha to the 13th Ashad, 2082. Note that for the locals of Okhaldhunga and Solukhumbhu District, if the issue is not subscribed by the early closing date, the issue can be extended till Ashadh 29. However, the issue will not be extended to the early closing date for Nepalese citizens working abroad.

The issued capital of the company is Rs. 37.30 Crores. Of this, 30%, i.e., 11,19,000 unit shares, will be issued to the public. Out of the total public issue, 5%, which amounts to 1,86,500 unit shares worth Rs. 1.86 Crores, will be allocated to project-affected locals of Okhaldhunga and Solukhumbhu districts. The remaining 25% of the issued capital, i.e., 9,32,500 unit shares, will be offered to the general public at a later date. Of this general public issue, 10%, a total of 93,250 unit shares, have been set aside for Nepalese citizens working abroad, and the issue for this category will open on the date mentioned above.

For the project-affected locals, the minimum application quantity to be applied is 10 units, while the maximum quantity is 10,000 units. For the Nepalese citizens working abroad, the minimum application quantity to be applied is 10 units, and the maximum quantity is 10,000 units.

NIC Asia Capital Limited has been appointed as the issue manager for the IPO issuance.

ICRA Nepal has upgraded the issuer rating of Him Star Urja Company Limited (HUCL) from B+ to BB-, indicating a moderate risk of default in meeting financial obligations. Additionally, the company’s long-term rating was upgraded from LB+ to LBB-, while its short-term loan rating was reaffirmed at A4. These ratings reflect ICRA Nepal’s opinion on HUCL’s overall creditworthiness, not tied to any specific debt instrument.

Him Star Urja Company Limited, established as a private company in August 2010 and later converted to a public company in December 2017, is developing the 5MW Buku Kapati Khola hydropower project in Okhaldhunga and Solukhumbu districts of Koshi Province. The project, designed as a run-of-river (Ro-R) scheme with a Q40 design, was initially budgeted at NPR 1,023 million with a debt-to-equity ratio of 64:36. As of mid-January 2025, about NPR 1,091 million has been spent, marking around 95% physical progress. The company’s paid-up capital stands at approximately NPR 261 million, with key promoters including Mr. Dipak Tiwari (16.4%), Ms. Shobha Upreti (7.2%), and others.

Offer Letter