Joshi Hydropower receives more than 34 thousand applicants; issue oversubscribed by 1.63 times till the second day

Mon, Dec 3, 2018 4:40 PM on IPO/FPO News, Latest, Stock Market,
Joshi Hydr...

Joshi Hydropower Development Company has received application from 34,795 applicants for a total of 2,539,520 units till the second day of the IPO issue. The issue has been oversubscribed by 1.63 times by the general public.

Joshi Hydropower Development Company Limited is issuing 1,690,470 units IPO at Rs 100 per share to the general public today. The issue will remain open till Mangsir 19, 2075.

The offering includes 50,714 units for the employees of the company, 84,523 units for the mutual funds and remaining 1,555,233 units for the general public. The issue also includes unsubscribed 242,010 units issued for the locals of project affected area.

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

Interested applicants can apply for minimum 50 units and applications can be placed for maximum 8 lakh units. Applications can be placed through any financial institutions providing C-ASBA facilities or through Meroshare.

ICRA Nepal has assigned Grade 5 rating to the IPO issuance which indicates poor fundamentals.

After the adjustment of IPO, the paid-up capital of the hydropower company will reach Rs 37.14 crore with the shareholding ratio standing at 51:49 for promoters and ordinary shareholders respectively.

The company is at present operating 3,000 KW Upper Puwa-1 HEP, located in Puwa-Mahjuwa VDC of Ilam District in Eastern Nepal. The per megawatt cost of the project is Rs.18.45 Crore.