SEBON approves Chhyangdi Hydropower’s IPO worth Rs 5.40 crore

  Securities Board of Nepal (SEBON) has provided approval to Chhyangdi Hydropower Limited for the issuance of IPO worth Rs 5.40 crore. The hydropower company will now be issuing 5,40,000 units shares to the general public (including its staffs) at a par value of Rs 100 per unit. Global IME Capital Limited has been assigned as the issue manager for the IPO. ICRA Nepal has assigned IPO Grade 4 to this IPO, indicating below average fundamentals. Chhyangdi Hydropower was established on September 2, 2007 as a private limited company. The authorized capital of the company is Rs 50 crore. It had recently allotted 2,70,000 units IPO shares to the locals of project affected people in Lamjung district. After the IPO for the locals of project affected area, the paid up capital of the company has reached Rs 21.60 crore. After the IPO of 5.40 lakh units shares worth Rs 5.40 crore for the general public, its paid up capital will reach Rs 27 crore with promoter – people of affected area (Lamjung district) – public shareholding ratio at 70% to 10% to 20%. The company plans to utilize the proceeds from this issue in developing a 4MW Upper Chhandi project.