IPO Allotment: Rapti Hydro and General Construction Allotted Shares to Valid Applicants, 6.14% of Shares Were Unsubscribed

Fri, Jul 1, 2022 11:42 AM on Latest, IPO/FPO News, Share Allotment,

Rapti Hydro and General Construction Limited (RHGCL) has allotted IPO shares to the project affected local residents of Rukum (Eastern and Western districts). The allotment program concluded on Ashad 16, 2079

The company had issued 6,12,793 unit IPO shares which is 10% of the issued capital of Rs 61.27 crore to the project-affected locals of Rukum (Eastern and Western districts) from 24th Jestha and was supposed to close on 7th Ashad, 2079. However, since the issue was not fully subscribed by the early closing date, the deadline was extended till 10th Ashad, 2079. The interested locals could place their applications for a minimum of 10 shares to a maximum of 6,00,000 shares.

As per the issue manager Siddhartha Capital Limited, only 5,75,170 units or 93.86% of the total issue have been allotted to the valid applicants. Thus, remaining 37,623 units will be soon issued to the general public along with 23,28,617 units which is 38% of the issued capital of the company.

ICRA Nepal has assigned the issuer rating of [ICRANP-IR] B+ (pronounced ICRA NP issuer rating B plus) to Rapti Hydro and General Construction Limited (RHGCL). Companies with this grading are considered to have high risk of default regarding timely servicing of financial obligations.

Rapti Hydro & General Construction Limited is a public company incorporated on Kartik 5, 2065 (October 21, 2008) as per Companies Acts 2063, Nepal with the objective to develop and invest in hydropower projects. It is currently developing a 5 MW Rukum Gad Hydropower Project in Rukum East District and owns its Electricity generation license. The Project is located at Sisne and Bhume Gaunpalika of Rukum East District. Its registered office is located at Kathmandu-11, Bluestar Complex, Tripureshor.