SEBON Approves Rights Offering Proposal of These 2 Companies

The Securities Board of Nepal (SEBON) has approved the rights proposal of two companies.

The 10: 3 rights proposal of Chhyangdi Hydropower Company Limited (CHL) has been approved by the regulator. This will be issued on the paid-up capital of Rs. 28.35 crores. Thus, a total of 893,025 shares will be issued, which will raise a total capital of Rs. 8,93,02,500 for the company.

The paid-up capital of the company after 30% rights issuance will be Rs. 38,69,77,500. Global IME Capital has been appointed the issue manager. The proposal was approved on Poush 01.

Note that the company has already proposed yet another 40% rights offering (yet to be approved by SEBON) on the paid-up capital maintained after 30% rights adjustment. After adjustment of the 30% right shares, the 40% right shares will be issued on this capital, finally bringing the paid-up capital to Rs. 54,17,68,500.

The board has also approved the rights proposal of Corporate Development Bank Limited (CORBL). The company had submitted the proposal on Poush 26 last year. It has now been approved by the regulator on Poush 01.

The company will now issue the right shares in the ratio of 1:1.5. Thus, an investor holding 100 shares of CORBL can apply for 150 shares in the right offering. A total of 30 lakh unit shares will be issued at a par value of Rs. 100 per share. Civil Capital has been appointed the issue manager.