Work at UTKHPL set for impasse again; IPO collection exceeds expectations

ShareSansar, March 30:

The works at the project site of Upper Tamakoshi Hydropwer Limited (UTKHPL), which has been stalled several times, is headed for stalemate again.  

Workers affiliated to Nepali Congress and UCPN (Maoist) have halted works at the site raising demands similar to the ones raised earlier by workers close to CPN (UML). The CPN (UML) aligned workers had halted the project works for 10 days demanding 500 kittas promoter shares for each worker of the (UTKHPL).    

Despite all the hiccups, investors have shown immense interest in the initial public offering of UTKHPL.  

In the first phase of the IPO issuance, depositors of the Employee Provident Fund filed for shares worth more than 10 times the size allocated for them. Although shares worth Rs 1 arba 82 crore kittas were set aside for the depositors of the EPF, applications have been received for shares worth more than Rs 17 arba 83 crore by Sunday, the last day for them to submit applications.

Till Sunday, 1 lakh 65 thousand depositors had submitted their applications. Only 38.46 percent of the total 4 lakh 29 thousand depositors filed applications for the IPO. Although the collections exceeded expectations, the number of applicants was significantly low.

From the 477 employees of Employee Provident Fund Rs 15 crore 27 lakh was collected. Likewise, 192 employees of Beema Sanstha applied for shares worth Rs 3 crore 5 lakh, 109 staff of Citizen Investment Trust filed for shares worth Rs 3 crore 5 lakh, 4,639 employees of Nepal Telecom for Rs 9 crore 2 lakh and 8,933 employees of NEA Rs 79 crore 21 lakh.

In the first phase of its IPO issuance, the project had sought applications from locals, employees of lending institutions, and depositors of Employee Provident Fund for shares worth Rs 3 arba 50 crore.
 
Translated from Nagarik Daily