IPO for project-affected locals: United IDI Mardi and RB Hydropower Company issuing 4,20,000 units IPO shares from Ashwin 7

Fri, Sep 18, 2020 6:59 AM on Latest, IPO/FPO News, Stock Market,

United IDI Mardi and RB Hydropower Company Limited is re-issuing its 4,20,000 units IPO shares to the project-affected locals of Kaski district from Ashwin 7, 2077.

The IPO issue for locals is open from Ashwin (7-21). If unsubscribed, the issue can be extended to 6th Kartik, 2077. The interested locals can place their applications for a minimum of 10 units and a maximum of 10,000 units.

Earlier, United Mardi and RB Hydropower Company Limited had published an IPO offer letter to issue shares to project-affected locals from Chaitra 10, 2076.

However, because of the lockdown and COVID-19 breakout in the country, the company cancelled the IPO issue for locals publishing a notice and as per SEBON rule if the company was unable to issue IPO after 2 months from SEBON approval then the company again needs re-approval from SEBON and published amended offer letter.

Care Ratings Nepal Limited has assigned the „CARE-NP BB+ (Is)‟ rating to United Mardi and RB Hydropower Company Limited. Issuers with this rating are considered to have a moderate risk of default regarding timely servicing of financial obligations, in Nepal.

United Idi Mardi & RB Hydropower Limited will be issuing 1,050,000 ordinary shares to the public at par value of Rs.100 per share to raise a capital worth Rs.10.50 Crore. Out of this, 420,000 units (10% of total capital) are for the locals of the project affected area and 630,000 units (15% of the total capital) are for the general public.

The project promoted mainly by individual promoters from different background along with two institutional promoters for setting up of a 7MW run-of-river, Upper Mardi Khola Hydropower Project in Kaski district of Nepal. This project is constructed under BOOT (Build, own, Operate and Transfer) mechanism. After the issue of the proposed IPO of Rs.105 Million, the promoters and public holding ratio is expected to be in the ratio of 75:25.

Click here for IPO Offer Letter: