Kathmandu. Sanigad Hydro Limited has issued the initial public offering (IPO) for the locals of the project-affected areas from April 25. Although the company has extended the issue period till April 20, 2083, it is closing the issue after the banking hours due to the number of applications exceeding the demand.
The company was allowed to issue 8.55 million units of shares worth Rs 85.50 crore, which is 30% of the issued capital of Rs 2.85 billion. Out of the offered shares, the company is issuing 28,50,000 units of ordinary shares worth Rs 28.50 crore at the face value of Rs 100 per share to the locals of the project-affected area.
A total of 1,852,500 units of shares will be issued to residents of ward 1, 2 and 4 of Bungal Municipality in the most affected areas of Sudurpaschim Province and Bajhang District.
Applications can be place for minimum 10 units and maximum 20,000 units. Laxmi Sunrise Capital Limited has been appointed as the issue manager for the IPO issuance.
ICRA Nepal has assigned an ‘IBNP’ Issue Rating ‘Double B Minus’ to the company. This indicates that there is a moderate risk to the company’s ability to meet its obligations.
Interested bidders can bid for the shares from Laxmi Sunrise Bank’s Chainpur branch, Global IME Bank, Rastriya Banijya Bank and Agricultural Development Bank, Bajhang branch. Apart from this, people can also apply from Power House Birawagar and Bungal. Locals of the project-affected areas will have to pay Rs 2 to receive the application form.
