Makar Jitumaya Suri Hydropower Company Closing 1,337,302 Units IPO Shares Issue For General Public From Today
Wed, Apr 5, 2023 6:05 AM on IPO/FPO News, Latest,
Makar Jitumaya Suri Hydropower Company Limited is closing the issue of 1,337,302 unit shares of Rs 100 face value from today i.e. on 22nd Chaitra. The issue opened on 19th Chaitra, 2079.
Out of the total 15,20,000 units i.e. 20% of the issued capital; 10% or 152,000 units have already been issued and allotted to Nepalese citizens working abroad, whereas 2% i.e 32,028 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 80,070 units have been set aside for the mutual funds.
Earlier, the company had issued 760,000 unit shares worth Rs. 7.6 crores to the project-affected locals of Dolakha District out of which only 6,78,600 units were allotted to valid applicants. Thus, the remaining 81,400 units of unsubscribed shares of project-affected locals are added to 12,55,902 units (which is reserved for the general public) to make a total of 13,37,302 units for the general public.
The company intends to collect Rs 13.37 crore from this IPO. Overall, 70% of shares are of the promoter shareholders in the company.
According to CDSC, 10,29,494 applicants have applied for a total of 1,15,36,860 units. Thus, the issue is already oversubscribed by 8.62 times so far.
Prabhu Capital Limited is appointed as the issue manager for the IPO issuance. Applications can be placed for a minimum of 10 units and a maximum of 10,000 units.
CARE Ratings Nepal Limited (CRNL) has reaffirmed the issuer rating of ‘CARE-NP BB (Is)’ assigned to Makar Jitumaya Suri Hydropower Limited. Issuers with this rating are considered to have a moderate risk of default regarding the timely servicing of financial obligations, in Nepal
Makar Jitumaya Suri Hydropower Limited was incorporated on July 15, 2021, after the merger of Makar Jitumaya Hydropower Private Limited with Suri Khola Hydropower Limited. The merged entity is currently developing two under-construction hydropower projects namely, the 6.4 MW run-of-river, Suri Khola Hydropower Project, and the 7MW Upper Suri Hydropower Project in the Dolakha district of Nepal.
