Swet Ganga Hydropower & Construction Closing 23,89,500 Units IPO Shares Issue from Today

Swet Ganga Hydropower & Construction Limited (SWET) is closing 23,89,500 units of Rs 100 face value of total worth Rs. 23.89 crore as Initial Public Offering to the general public from today i.e 8th Shrawan, 2079. The issue was opened from Shrawan 4th.

Out of the offered 23,89,500 units; 5% of the total offered shares to the general public i.e. 1,19,475 units have been set aside for the mutual funds. The remaining 22,70,025 units are for the general public. This is the 15% shares of the issued capital.

Earlier the company had issued 15,93,000 units i.e. 10% of the company's issued capital to the project-affected locals of Ramechhapp and Okhaldhunga Districts from 23rd Jestha to Ashad 06, 2079. The promoter-public ratio stands at 70- 30. The total paid-up capital post allotment of the IPO shares will be Rs 1.59 arba.

Applications can be placed for a minimum of 10 units and a maximum of 10,000 units till the end of banking hours today. Sanima Capital Limited is appointed as the issue manager for the IPO issuance.

According to the CDSC, 10,92,978 applicants have applied for total of 1,25,82,150 units worth Rs. 1.25 Arba. Thus, the issue is already oversubscribed 5.54 times so far.

CARE Ratings Nepal Limited (CRNL) has assigned an issuer rating of ‘CARE-NP BB (IS)’ to Swet Ganga Hydropower & Construction Limited (SWET). Issuers with this rating are considered to offer a moderate risk of default regarding timely servicing of financial obligations in Nepal.

Swet Ganga Hydropower & Construction Limited (SWET) is a Public Limited company, incorporated on February 28, 2005 as Swet Ganga Hydropower & Construction Private Limited and later changed to Public limited on October 03, 2016. It is promoted by individual promoters from different backgrounds, institutional investors majorly related to Sanima Hydro group and other institutes which includes banks and investment companies for setting up of a 28.1 MW run-of-river, Lower Likhu Hydropower Project (LLHP) located in Ramechhap district of Nepal. The project is constructed under BOOT (Build, own, Operate and Transfer) mechanism.

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