Investors fussing over 200% Right Share of Api Power; more hydropower projects in pipeline

Api Power Company’s (API) 1:2 Right Share news is currently becoming a hot topic among the public investors. The company’s issuance of 200 percent right share to its shareholders has created doubt on the company’s performance pointing the negative reserve of the company in its previous quarterly reports. The sudden rise of share price of Api have concerned investors’ about the possibility of revision of Arun Valley Hydropower case where investors faced huge loss. In contrast, Api Power Company denies those overspread rumors. Sanjeev Neupane , Managing  Director of Api Power Company told ShareSansar, ‘ The rumor of BOD member exiting from the company after selling the Promoter Share has been spread by some online news portals. Promoter share of API have 3 years locking period. With that provision, the promoter share cannot be sold. The API share has been divided into 70: 30 promoter to public share ratio.Rupees 70 crores promoter shares of the total paid up capital is in the locking period which will remain up to Bhadra, 2075 BS.’ The company is showing agressiveness in developing more hydropower projects in the near future. Along with that after the announcement of Energy Crisis in Nepal a huge scope on Solar and Wind Energy has also prevailed. So the company is also taking these alternative energy generations into consideration in the near future. Mr. Neupane assured the shareholders that by investing in company like API the shareholders shall definitely get more dividend and return in the days to come. He urged the shareholders to be confident toward the company's management. The upcoming SGM of Api Power Company going to be held on 27^th Chaitra, 2072 will be endorsing 1:2 right shares for collecting fund for its upcoming projects. The company is constructing 8MW Upper Naugharghad Hydropower Project and 75MW Siddhakali Hydropower Project.  It has completed 8.5 MW Naughargadh hydropower projects which have already been connected to the national electricity grid few months ago. Moreover the company also has got a survey license for 40 MW Upper Chameliya HPP. The dismissal chance of 1:2 right share from SEBON for the hydropower company’s upcoming 8MW Upper Naugharghad Hydropower Project and 75MW Siddhakali Hydropower Project has become another issue. Neupane adds on this, ‘there are no any obligations as such for investment in productive sectors like hydropower sectors.’ Investors are making self-assumed predictions regarding the issue. As per Niranjaya Ghimire, Deputy Spokesperson of SEBON, ‘The issue of 1:2 right share of Api Power Company is yet to reach SEBON’. As rumors are a part of price fluctuating factor so the investors are creating hassles on their own. The diversified investment portfolio of the company depicts high chances of good returns from investment.