IPO of Himal Dolakha Hydropower still not listed; Officials dodging calls

Himal Dolakha Hydropower Company Limited had allotted its IPO shares to the general public on Bhadra 05, 2076. The issue was open from Asadh 25, 2076 to Shrawan 28, 2076. The company was offering 7,672,210 units of ordinary shares.

Despite the allotment in Bhadra, the shares of Himal Dolakha hasn't been listed in Nepal Stock Exchange (NEPSE). According to the issue manager, Global IME Capital, the listing procedure is carried out by the company itself. Therefore, Sharesansar tried to contact officials at Himal Dolakha. However, they have been dodging calls and no one above receptionist could be reached.

The investors could have earned more on a bank's saving account than to have their money frozen in the shares of a company that has shown no commitment towards public accountability.

Out of the offered 7,672,210 units, 25,000 units had been allotted to the mutual funds while the remaining 7,647,210 units were for the general public. The issue received 72,255 valid applicants till the closing date, applying for a total of 30,93,250 units of shares. 

The shares that remained unsubscribed were allotted to the underwriters in the predetermined ratio. The underwriters of the issue are BOK Capital Limited (32.86%) allotted with 25,12,873 units, Nabil Investment (33.71%) with 25,77,874 units, Laxmi Capital (25%) with 19,11,802 units and Nepal Bangladesh Capital Limited (8.43%) with 6,44,660 units.

HDHCL has two run of the river hydropower project under operation, which are 4.55 MW Mai Khola Small Hydropower Project (Project I) and 8MW Mai Small Cascade Hydropower Project (Project II), both are located at Ilam district of Nepal. The projects are constructed under BOOT (Build, Own, Operate and Transfer) mechanism.

Project-I was completed with total cost of Rs 72.50 Crore (Rs.16.10 Crore per MW) which was funded through Debt: Equity of 75.13: 24.87. Project-II was completed with total cost of Rs 1.42 Arba (Rs 17.80 Crore per MW) which was funded through Debt: Equity of 62.82: 37.18.