Bhagawati Hydropower Development Company IPO Collects Rs. 1.23 Arba Till Third Day; Oversubscribed 14.94 Times So Far

CDS & Clearing Limited (CDSC) has reported the data of public IPO collection of Bhagawati Hydropower Development Company Limited as of 10 am today i.e. Bhadra 07.

The company has been issuing 712,220 unit IPO shares from 5th Bhadra, 2080. The early closing date of this issue is on the 8th Bhadra and if the issue is not fully subscribed, it can be extended up to the 19th Bhadra, 2080.

Out of the total 858,097 units; 10% i.e. 85,810 units have already been issued and allotted to Nepalese citizens working abroad, 5% i.e. 42,905 units have been set aside for the mutual funds while 2%, or 17,162 units have been set aside for the employees of the company. The remaining 712,220 units are for the general public.

The shares are issued for Rs. 116 per share (Rs 100 face value + Rs 16 premium price).

Siddhartha Capital is appointed as the issue manager. The IPO issue will raise a total of Rs. 16.58 Crores for the company. Out of this Rs 2.28 Crores will be the premium amount and the rest will be added to the paid-up capital.

According to CDSC, 954,701 applicants have applied for a total of 10,646,230 units worth Rs. 1.23 Arba. Thus, the issue has already been oversubscribed by 14.94 times so far.

CARE Ratings Nepal Limited (CRNL) has reaffirmed the issuer rating of ‘CARE-NP BBB- (Is)’ assigned to Bhagawati Hydropower Development Company Limited. Issuers with this rating are considered to offer a moderate degree of safety regarding timely servicing of financial obligations, in Nepal. Such issuers carry moderate credit risk.