Api Power allots shares to project-hit locals; issue to open for general public soon

ShareSansar, March 19:  

Api Power Company Limited has distributed the shares issued on Magh 19 for the locals of project-affected area on Wednesday.

Api had issued 10 lakh unit shares for the project-affected area of Darchula and Baitadi districts.

Api had set aside 2 lakh kitta shares for the people of directly-affected Dethala, Dhuligadh, Rani Shikh and Shikhar VDCs of Darchula district and Rudreshwar VDC of Baitadi district.


Likewise, the company had put aside 8 lakh shares for the locals of the remaining VDCs of the two districts.

In case of directly-hit areas, investors who had applied for shares worth Rs 50,000 received 100% shares, whereas those applying for shares worth more than Rs 50,000 were allotted 41.25 %.

For the 2 lakh unit shares, 340 applicants applied for a total of 4 lakh 2 thousand 400 shares. Out of the 2 lakh units, 80,000 shares had been set aside for small investors. But since applications were filed only for 56,130 shares, all applicants under small investor category got as many shares as they had demanded.

The company has said that the remaining 23,870 shares will be distributed among investors who had filed for 510 to 10,000 units.

Applicants seeking more than 510 shares had filed for 3 lakh 46 thousand 310 units shares. The shares will be distributed among them on proportional basis.

Apart from the directly hit VDCs, 8 lakh shares set aside for other VDCs, for which 1,564 applicants applied for 18 lakh 94 thousand 40 unit shares.

In this case, investors applying for shares worth Rs 50,000 were allotted 100% shares whereas those filing for shares worth more than Rs 50,000 were given 32.35% shares.

Out of the 8 lakh shares, 3 lakh 20 thousand shares were set aside for small investors. But small investors filed for only 2 lakh 84 thousand 850 shares. The remaining 35 thousand 150 shares will be allocated among investors filing for more than 510 shares.

Investors applying for more than 510 shares had filed for 16 lakh 9 thousand 190 shares. Shares would be distributed among the investors proportionally.

Project-affected locals will not be allowed to sell their shares for three years.

The company has 1,064 promoter shareholders who own 60 percent of the shares. The company had decided to sell 10 percent of its shares to the people of project-affected areas.

The company has set aside 30 percent shares for public. Since shares to project-affected locals have already been allocated, the company will soon open the offer for general public.

Api Hydropower had floated the IPO to raise capital for constructing 8,500 KM capacity hydropower project in the Gadh River of Darchula's Naugadh.  


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