Menchhiyam Hydropower IPO Closing From Today For Nepalese Employed Abroad; Deadline Extended for Locals Till Chaitra 09
Thu, Mar 9, 2023 11:19 AM on Latest, IPO/FPO News,
Menchhiyam Hydropower Limited is closing the issue of its IPO to the Nepalese citizens working abroad from today i.e. 25th Falgun and has extended the IPO issue deadline for project-affected locals till 9th Chaitra, 2079. The issue had opened on 10th Falgun, 2079.
The issued capital of the company is Rs. 54.25 Crores of which 10% i.e. 5,42,583 unit shares worth Rs. 5.42 crores have been allocated to project-affected locals of Sankhuwasabha District. Meanwhile, 20% of the company's issued capital i.e. 10,85,167 unit shares will be issued later for the general public. Of this public issue, 10% of the shares totaling 108,517 units shares have been allocated for Nepalese citizens working abroad, the issue of which will close today.
The minimum application quantity to be applied for both project-affected locals and Nepalese citizens working abroad is 10 units while the maximum quantity is 10,000 units.
NIC Asia Capital Limited is appointed as the issue manager. The promoter-public share ratio will be 70: 30 after this IPO.
According to CDSC, 16,863 applications have been received through Nepalese citizens working abroad for a total of 466,560 units. Thus, the issue is already oversubscribed by 4.29 times so far.
CARE Ratings Nepal Limited (CRNL) has reaffirmed the issuer rating of ‘CARE-NP BB (Is)’ assigned to Menchhiyam Hydropower Limited. Issuers with this rating are considered to offer a moderate risk of default regarding the timely servicing of financial obligations, in Nepal
Menchhiyam Hydropower Limited is a public limited company, incorporated on November 08, 2017, as a Private Limited company, which was then converted into a public company on July 15, 2021. The company is involved in setting up of a 4.72 MW run-of-river, Upper Piluwa Khola-II Small Hydropower Project (UPKHP) in the Sankhuwasabha district of Nepal by utilizing the available head and flow from Piluwa Khola (river). The project is constructed under BOOT (Build, own, Operate, and Transfer) mechanism.