Khanikhola Hydropower IPO oversubscribed by 18.12 times till second day; collected Rs 1.57 arba from 23,089 applicants

KhaniKhola Hydropower Company Limited has been issuing 9, 31,429 unit shares worth Rs 9.31 crore as part of its initial public offering (IPO) from Jestha 16, 2073 at face value of Rs 100. Today is the third day of the IPO. The IPO is oversubscribed by more than 18.12 times till second day . Kamal Khatri, Head of Merchant Banking of Civil Capital Markets limited said, “The total collection of the IPO is approximately Rs 1 arba 57 crore till second day. Around 23,089 application forms were received.” The IPO applications will close on Jestha 19 (tomorrow) at the earliest. The maximum closing date for the offer is Jestha 30, 2073. Interested people must apply for a minimum of 10 units of share and they can apply for up to 1,000 units of share. The hydropower company has set aside 18,629 unit shares for its employees and 46,571 unit shares for the 8 mutual fund companies. The company has set aside 8, 66,229 unit share to the general public. Civil Capital Market Limited has been assigned as the issue manager for the IPO issue. The authorized and issued capital of company is Rs 50 crore and Rs 46.57 crore respectively.  The paid up capital of the company remains at Rs 19.80 crore. After the IPO issuance, the promoter-people of affected area (Bhattedanda, Ikudole, Sankhu) – general public ratio of the company will be 70% to 10% to 20%. ICRA Nepal has assigned an “[ICRANP] IPO Grade 4+”, indicating below average fundamentals to the proposed initial public offering (IPO) of KhaniKhola Hydropower.