Kathmandu. Apollo Hydropower Limited is going to issue IPO from February 24. The company is issuing the initial public offering (IPO) to the locals of the project-affected areas and Nepalis who are employed abroad.
The company was allowed to issue 14,10,000 units of shares worth Rs 14.10 crore, which is 30% of the issued capital of Rs 57 crore. Out of the offered, 4,70,000 units of ordinary shares worth Rs 4.70 crore each will be issued to the locals of the project-affected area.
Out of the total number of shares issued to the locals of the project-affected areas, 50% i.e. 235,000 units of shares will be issued to the residents of the highly affected area i.e. Khijidemba Rural Municipality Ward No. While 30 percent i.e. 141,000 units will be distributed to the residents of Ward No. 7 and 8 of the district. and Umakunda Rural Municipality Ward No. 2 of Ramechhap district. It will be distributed to residents of Province 3.
The remaining 20 percent i.e. 94,000 units of shares have been allotted to the least affected area, Umakunda Rural Municipality Ward No. Gokulganga Rural Municipality Ward No. 2 It will be distributed among the local residents of Province 1.
The company is issuing 94,000 units of ordinary shares at a face value of Rs 100 per share i.e. 940,000 units.
Applications can be place for minimum 10 units. Applications can be place for local residents and maximum 1000 units of shares can be applied for at a maximum of 47,000 units.
Locals of the project-affected areas can apply for the project till March 8 and March 25 at the earliest. Similarly, Nepalis who are in foreign employment can apply for the application till March 25 at the earliest and till March 7.
Care Ratings Nepal has assigned CareNP Double B Minus Issue Rating to the company. This indicates that there is a moderate risk to the company’s ability to meet its obligations.
Himalayan Capital Limited has been appointed as the issue manager for the IPO issuance. Nepalese who are on foreign employment can apply for the ASBA system from the banks and financial institutions participating in the ASBA service after obtaining permission from the Securities Board of Nepal.
The bidders can bid for the shares from Apollo Hydropower at Okhaldhunga, Kinja branch of Laxmi Sunrise Bank, Shivalaya branch at Ramechhap, Khijidemba branch of Nepal Investment Bank at Okhaldhunga branch and Citizen Bank at Likhupike branch of Citizen Bank. Locals of the project-affected areas have to pay Rs 2 as application fee for the share purchase application.
