Upper Tamakoshi to issue massive IPO worth Rs 2.63 arba for project affected people and general people

Upper Tamakoshi will be issuing IPO worth Rs 2.63 arba for project affected locals as well as general public. The hydropower company will be issuing IPO worth 10% of the total capital of the project to the project affected public of Dolakha district. 1.5 crore unit shares worth Rs 1.5 arba will be floated for the local people. Similarly, IPO worth Rs 1.58 arba will be issued to the general public. It is 15% of the total capital of the hydropower company. After the issuance of IPO for the local public and general public, the shares issued to the employees will be listed. For the local people, Gaurishankar VDC’s Lamabagar and Gangor have been declared as the most affected, areas touched by the transmission lines have been declared as affected areas and the remaining parts of Dolakha district have been declared as less affected areas. The local people can apply for a minimum of 30 units and maximum of 300 units of shares. Citizen Investment Trust and Sunrise Capital Limited have been assigned as the issue manager for the IPO. The IPO of the Upper Tamakoshi will be the biggest in the capital market of the Nepal in terms of volume of shares. it has been constructing 456-MW hydropower project. It has paid-up capital of Rs 10.59 billion. The tunnel of hydropower project was completed yesterday after almost five years since the construction started in 2011. It is the largest capacity hydropower project in the country and it has 8.4 km longest tunnel which has been constructed so far. The majority share (51%) of Upper Tamakoshi has been hold by four public entities, namely, Nepal Electricity Authority (NEA), Nepal Telecom (NTC), Citizen Investment Trust (CIT) and Rastriya Beema Sansthan (RBS). NEA has 41% stake, NTC has 6% and CIT & RBS each has 2% stake in the Company. The company had issued its shares to the staff of Nepal Electricity Authority (NEA), UTKPL, lending institutions and the depositors of Employees Provident Fund (EPF) in the first phase. The project was started in 2011, it was supposed to have been completed by mid-July 2016 as it was affected due to the earthquake of April 2015 and the fuel crisis, the project was badly affected. The country’s largest hydropower project is located 68km from Charikot, the district headquarters of Dolkha.