Upper Tamakoshi receives overwhelming response; How many units can you expect?

Tue, Nov 6, 2018 4:12 PM on IPO/FPO News, Latest, Stock Market,
Upper Tama...

Nepal’s dream hydropower project ‘Upper Tamkoshi Hydropower Project’ has received overwhelming response from the general public.

Unverified data provided by the issue manager, Sunrise Capital, makes it clear that the issue has been able to attract the most number of applicants in the history of Nepalese stock market. As per the unverified data, about 3.45 lakh applicants have applied for more tha 6.70 crore units of the company.

The issue is oversubscribed by 4.46 times. Assuming the above data remains the same after verification, each applicant will receive about 46 unit shares from the total issue of 1,58,85,000 units.

How has been its previous issue?

24 % of its shares were allotted to the employees of its lending institutions. Out of which 18,299,520 units share were allotted to 1,91,959 depositors of Employees Provident Fund (EPF). 4,066,560 units share were allotted to 9,754 staffs of UTKHPL and its largest promoter Nepal Electricity Authority (NEA).9,14,976 units share were allotted to the 5,550 staffs of Nepal Telecom Company Limited (NTC), whereas,  15,24,960 units were allotted to 480 staffs of Employees Provident Fund(EPF).  Also, 3,04,992 units share were allotted to 191 staffs of Rastriya Beema Sansthan and 3,04,992 units share were allotted to the 107 staffs of Citizens Investment Trust (CIT).

In case of the locals, they were classified into three different group based upon the area affected by the project. From category A, 5,050 applications were received. Applicants from category A who applied for 30 to 100 units werefully allotted shares. Applicants who applied for 110 to 300 units were allotted 102 units each. A total of 510,950 units of shares were been allotted to applicants from category A. From category B, 81,237 applications were received. Applicants who applied for 30 to 40 units were fully allotted shares. Applicants who applied for 50 to 300 units were allotted 48 units each. A total of 3,777,586 units of shares were allotted to applicants from category B. Similarly, applicants from category C who applied for 30 units were fully allotted. Applicants who applied for 40 units were allotted 32 units each and applicants who applied for 50 to 300 units, were allotted 34 units each. A total of 6,299,866 units of shares were allotted to applicants from category C. The remaining 1,598 units were allotted to applicants from category A who applied for 300 units through lottery system. Applicants were allotted one unit each on winning the lottery.

The allotment for the general public is likely to be made after the verification of data.