IPO Issue of Mid-Solu Hydropower Company Closing Today; Oversubscribed 18.72 Times So Far

Tue, Sep 19, 2023 8:24 AM on IPO/FPO News, Latest,

Mid-Solu Hydropower Company Limited is closing the issue of 6,21,172 unit IPO shares at a par value of Rs. 100 from today i.e. on 2nd Ashwin. The issue opened on 29th Bhadra, 2080.

Out of the total 7,48,400 units; 10% i.e. 74,840 units have already been allotted to Nepalese citizens working abroad, whereas 2% i.e. 14,968 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 37,420 units have been set aside for the mutual funds. The remaining 6,21,172 units are for the general public, the issue of which will close from today.

Earlier, the company had issued 748,400 unit IPO shares which were 10% of the issued capital to the project-affected locals of Solukhumbu district from 14th-30th Shrawan, 2080.

NIC Asia Capital Limited is appointed as the issue manager. Applications can be placed for a minimum of 10 units and a maximum of 10,000 units.

According to CDSC, 10,30,742 applicants have applied for a total of 11,630,520 units worth Rs. 1.16 Arba. Thus, the issue has already been oversubscribed by 18.72 times so far.

ICRA Nepal has assigned an issuer rating of [ICRANP-IR] BB+ (pronounced ICRA NP issuer rating double B plus) to Mid Solu Hydropower Limited. Issuers with this rating are considered to have a moderate risk of default regarding the timely servicing of financial obligations.

Mid-Solu Hydropower Limited was incorporated on April 19, 2017, as a private limited company and converted to a public limited on June 30, 2021, to facilitate public participation. The company is currently developing a 9.5-MW Mid-Solu Khola HPP in Solukhumbu district, Province 1 of Nepal. The project is a run-of-the-river (R-o-R) type and is being developed at a 40.9% probability of exceedance.