Trishuli Jal Vidhyut first IPO under the "Citizens Hydropower Project" scheme receives massive response; issue oversubscribed by 18.61 times

Trisuli Jal Vidhyut Company Limited had closed 3,705,000 units IPO shares issue worth Rs 37.05 Crore to the general public from today (Chaitra 11, 2075). 

As per the issue manager Global IME Capital, the issue received applications from 1,56,711 applicants applying for a total of 66,909,920 units worth Rs 66.90 crore. The issue has been oversubscribed by 18.61 times till the closing day.

The issued capital of the company is Rs 2.47 Arba out of which company is issuing 15% shares to general public. Of the total 3,705,000 units; 3% shares i.e. 1,11,150 unit shares is reserved for employees and remaining 3,593,850 unit shares is issued to the general public.

The par value of shares is Rs.100 and initial call amount is Rs.10. Applications can be place for minimum 100 units and maximum 10,000 units. Application can be placed from the financial institutions providing C-ASBA facility or through Meroshare.

Trisuli Jal Vidhyut Company Limited is the first company to issue Initial Public Offering (IPO) under the "Citizens' Hydropower Project" scheme introduced by the government lately. This scheme was introduced by the government to involve citizens' investment in hydro sector with an ambition to make all Nepalese shareholder of hydropower companies.

Under this provision, you can acquire shares by paying only 10% of the share value and the remaining 90% will be payable when the project is 75% complete.

Trisuli Jal Vidhyut Company Limited (TJVCL) is a public limited company established in 11th May 2011 to harness the hydropower potential of the country at a reasonable rate with the full utilization of the available national water resources.

The company is jointly formed by Nepal Electricity Authority (NEA) and Nepal Doorsanchar Company Limited (NDCL). The company is planning to develop Upper Trisuli 3B Hydropower Project (UT3BHEP) with installed capacity of 37 MW located in Nuwakot and Rashuwa District. UT3BHEP is a run-off-river (ROR) type cascade project of Upper Trisuli 3A HEP (60 MW) which lies in the Trisuli River.

The cost for the construction of the 37MW project is estimated to be Rs.8.22 Arba. Out of which the consortium (NABIL, HIDCL and Nepal Bank) will provide 70% i.e. Rs.5.76 Arba for the project.