IPO for General Public: Him Star Urja Company to Issue 773,975 Units IPO Shares from Ashad 24

Him Star Urja Company Limited will open its Initial Public Offering (IPO) for the general public on the 24th of Ashad, 2082. The company is issuing 7,73,975 unit shares at a par value of Rs. 100 per unit. The early closing date for the IPO is the 27th of Ashad, 2082, but if the issue is not fully subscribed by then, the deadline will be extended to the 6th of Shrawan, 2082.

The issued capital of the company is Rs. 37.30 Crores. Of this, 30%, i.e., 11,19,000 unit shares, are being issued to the public. Out of the total public issue, 5%, which amounts to 1,86,500 unit shares worth Rs. 1.86 Crores, has already been issued to project-affected locals of Okhaldhunga and Solukhumbhu districts.

The remaining 25% of the issued capital, i.e., 9,32,500 unit shares, will now be offered to the general public, of which 10%, i.e., a total of 93,250 unit shares, have been issued to Nepalese citizens working abroad. The remaining 7,73,975 units will be opened to the general public from Ashad 24.

NIC Asia Capital has been appointed as the issue manager for the IPO issuance. Applications could be placed for a minimum of 10 units and a maximum of 10,000 units.

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