Last Day to Apply for IPO of Himalayan Hydropower; Issue Already Oversubscribed
Sun, Jul 3, 2022 9:16 AM on Latest, IPO/FPO News,
Himalayan Hydropower Limited (HMHL) is closing the IPO issue of 18,30,472 units worth Rs. 18.30 crores to the general public today.
The issue for 18,30,472 units opened from 15th Ashad and is closing today i.e 19th Ashad. Out of the total 19,68,250 units; 2% of the total offered shares i.e. 39,365 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 98,413 units have been set aside for the mutual funds. The remaining 18,30,472 units are for the general public. The paid-up capital of the company will reach Rs. 1.09 Arba after the IPO issuance. Global IME Capital Limited has been appointed as the issue manager for the IPO issuance.
According to CDSC, 13,93,705 applicants have applied for a total of 1,58,71,940 units till 10 AM today. Thus, the issue is already oversubscribed by 8.67 times so far.
Interested investors can apply for a minimum of 10 units and a maximum of 1000 units till the end of banking hours today.
ICRA Nepal has downgraded the issuer rating of Himalayan Hydropower Limited to [ICRANP-IR] B+ (pronounced ICRA NP issuer rating B plus) from [ICRANP-IR] BB+ (pronounced ICRA NP issuer rating double B plus). Issuers with this rating are considered to have a high risk of default regarding timely servicing of financial obligations.
Incorporated in December 2004 as a private limited company, Himalayan Hydropower Limited (HMHL) was converted into a public limited company in May 2017 to facilitate public participation. The company’s paid-up capital was ~NPR 664 million as of June 2019. The major promoters include Mr. Khom Bahadur K.C. (~20%), Mr. Min Bahadur Khadka Chhetri (~6%), and Mr. Sudhir Yadav (5%), among others. The promoter holding after the proposed IPO issue is expected to dilute to 75%, assuming full subscription. The shares of the company are proposed to be listed on the stock exchange post the proposed IPO. The proceeds from the proposed equity would be utilized for the development of the 11.88MW Namarjun Madi hydroelectric project.
