IPO Proposal of Molung Hydropower Finally Approved by SEBON; Company to Float IPO Worth Rs 35.31 Crores Soon

The Securities Exchange Board of Nepal (SEBON) has approved the proposed IPO issue of Molung Hydropower Company Limited on Mangsir 15, 2079.

The company will now issue 35,31,000 equity shares at a par value of NPR 100 each. The amount of the issue is Rs. 35.31 Crore. This is 44% of the company's issued capital. The total paid-up capital after the IPO allotment would be Rs 80.25 crore of the company.

The company will issue IPO both to the project affected people and to the general public. 

Sunrise Capital Limited has been appointed as the issue manager for the proposed IPO issuance.

Molung Hydropower Company Limited, incorporated on November 28, 2019, as a public limited company, was established with the objectives of investment and development of a hydropower project. The company operates a 7MW Molung Khola HPP in Okhaldhunga district, Province 1 of Nepal. The project is a run-of-the-river (R-o-R) type and has been developed at a 40% probability of exceedance (Q40). The project was commissioned on March 26, 2018, i.e., a month prior to its Required COD of April 2018. Similarly, the project was developed at a total cost of ~ NPR 207 million at an approximate debt-equity (D: E) of 69:31.