IPO Allotment of Maya Khola Hydropower Concludes: 1,99,200 Applicants Celebrate; 10,79,488 Applicants Return Empty-Handed

The IPO allotment of Maya Khola Hydropower Company Limited is concluded today at the premises of Prabhu Capital Limited, Kathmandu.

Maya Khola Hydropower Company Limited had issued 19,92,000 units worth Rs 19.92 crore as Initial Public Offering (IPO) to the general public (Magh 13-17, 2079). 

Out of the total 24,00,000 units; 10% i.e. 240,000 units have already been issued and allotted to Nepalese citizens working abroad, whereas 2% i.e 48,000 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 120,000 units have been set aside for the mutual funds. The remaining 19,92,000 units are for the general public.

The paid-up capital of the company will reach Rs. 1 Arba after the IPO issuance. The company intends to collect Rs 19.92 crore from this IPO.

The issue had received applications from 12,78,688 valid applicants who had applied for a total of 1,41,17,390 units. The issue was oversubscribed by more than 7.09 times. 

As per the allotment module, a total of 1,99,200 applicants were allotted 10 units each via lottery, and the remaining 10,79,488 applicants were returned with empty hands. 

A total of 48,000 units were allotted to the employees and 1,20,000 units were allotted to the mutual funds.

In total 5,542 applicants who applied for 86,300 units were disqualified due to duplicate applications from Local Shareholders, Foreign Employee Shareholders, Staff, and C-ASBA Suspect.

Allotment Module:

The IPO result can be accessed by CDSC IPO Result, MeroShare, and Prabhu Capital Limited. 

Earlier, the company had issued 10,00,000 unit shares worth Rs. 10 crores to the project-affected locals and 240,000 units shares to Nepalese citizens working abroad. Overall, 66% of shares are of the promoter shareholders in the company.

ICRA Nepal has reaffirmed the issuer rating of [ICRANP-IR] BB- (pronounced ICRA NP issuer rating double B minus) to Maya Khola Hydropower Company Limited. Issuers with this rating are considered to have a moderate risk of default regarding the timely servicing of financial obligations.

Maya Khola Hydropower Company Limited is developing the 14.9 MW Maya Khola HEP in the Sankhuwasabha district, Province No. 1 of Nepal. The project is a run-of-the-river (R-o-R) type and is being developed at a 40% probability of exceedance. The project is one of the Super-Six projects, which was initially studied by the Department of Electricity Development, Nepal.