IPO allotment of River Falls Power Limited concludes; lucky 2,53,890 investors get 10 units each and remaining 15,51,550 applicants return empty hands

The IPO allotment of River Falls Power Limited (RFPL) is concluded today at the premises of the issue manager Prabhu Capital Limited, Kamaladi, Kathmandu.

River Falls Power Limited (RFPL) had issued 27,30,000 units worth Rs 27.30 crore as Initial Public Offering to the general public from (Baisakh 28-Jestha 4, 2078). 

Out of the offered 27,30,000 units; 2% of the total offered shares to the general public i.e. 54,600 units have been set aside for the employees of the company and 5% of the total offered shares to the general public i.e. 1,36,500 units have been set aside for the mutual funds. The remaining 25,38,900 units are for the general public.

The issue had received applications from 18,05,440 valid applicants who had applied for a total of 2,01,95,910 units. The issue was oversubscribed more than 7.95 times. 

As per the allotment module, a total of 2,53,890 applicants were allotted 10 units each via lottery, and the remaining 15,51,550 applicants were returned empty hands. 

A total of 54,600 units were allotted to the staff of the company and 1,36,500 units were allotted to mutual funds.

In total 3,819 applicants who applied for 47,600 units were disqualified due to duplicate applications and applicants applied in local issues.

Allotment Module

The IPO result can be accessed by CDSC IPO Result, Prabhu Capital, and MeroShare.

10% of the company's issued capital is already issued to the locals and 39% to the general public.

IPO Allotment for River Falls Power Limited Concludes

CARE Rating Nepal has assigned 'CARE-NP BB-(Is)' to River Hills Power Limited. The grade assigned to any individual issue is considered to have a moderate risk of default regarding timely servicing of financial obligations.

River Falls Power Ltd (RFPL) is a Public limited company, incorporated on October 5, 2004, as a private limited company, later on, converted to a public limited company in October 2015. The company has been set up to build, own and operate a 10.30 MW run-of-river, Down Piluwa Khola Small Hydropower Project in the Sankhuwasabha district of Nepal. The major shareholders of the company as of July 16, 2020, are Mr. Dinesh Gurung (holding 16.12%), Ms. Mithila Shrestha (holding 9.46%) and Mr. Subhash Upreti (holding 7.36%) are major individual shareholders. The company also has 10 institutional shareholders (holding 15.02%), including Maya Khola Hydropower Company, Global Holding, and Sunrise holding.