Molung Hydropower Company IPO Allotment Concludes: 226,465 Applicants Get 10 Units Whereas 5 Lucky Applicants Get 1 Unit Extra
Fri, Mar 3, 2023 10:09 AM on IPO/FPO Result News, Latest,
The IPO allotment of Molung Hydropower Company Limited is concluded today at the premises of Sunrise Capital Limited, Kamalpokhari, Kathmandu.
Molung Hydropower Company Limited had issued 22,64,655 units worth Rs 22.64 crore as Initial Public Offering (IPO) to the general public (Falgun 4- 10, 2079).
Out of the total 27,28,500 units; 10% i.e. 272,850 units have already been issued and allotted to Nepalese citizens working abroad, whereas 2% i.e 54,570 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 136,425 units have been set aside for the mutual funds. The remaining 22,64,655 units are for the general public.
The paid-up capital of the company will reach Rs. 80.25 Crores after the IPO issuance.
The issue had received applications from 14,17,346 valid applicants who had applied for a total of 1,54,78,850 units. The issue was oversubscribed by more than 6.83 times.
As per the allotment module, a total of 2,26,465 applicants were allotted 10 units each via lottery and 5 lucky applicants were allotted 1 unit extra, and the remaining 11,90,881 applicants were returned with empty hands.
A total of 54,570 units were allotted to the employees and 136,425 units were allotted to the mutual funds.
In total 7,005 applicants who applied for 1,00,950 units were disqualified due to duplicate applications from Local Shareholders, Foreign Employee Shareholders, Promoter Shareholders, and C-ASBA.
Allotment Module:
The IPO result can be accessed by CDSC IPO Result, MeroShare, and Sunrise Capital Limited.
Earlier, the company had issued 8,02,500 unit shares worth Rs. 8.02 crores to the project-affected locals and 272,850 unit shares to Nepalese citizens working abroad. Overall, 56% of shares are of the promoter shareholders in the company.
Sunrise Capital Limited has been appointed as the issue manager for the IPO issuance. Applications can be placed for a minimum of 10 units and a maximum of 8000 units.
ICRA Nepal has reaffirmed an issuer rating of [ICRANP-IR] BB (pronounced ICRA NP issuer rating double B) to Molung Hydropower Company Limited. Issuers with this rating are considered to have a moderate risk of default regarding the timely servicing of financial obligations.
Molung Hydropower Company Limited was incorporated on November 28, 2019, as a public limited company, has a paid-up capital of NPR 449.4 million, 100% promoter held, as of mid-Apr 2022. The company is operating a 7MW Molung Khola HPP in Okhaldhunga district, Province 1 of Nepal since March 2018. The project is a run of the river (R-o-R) type and has been developed at a 40% probability of exceedance (Q40) with a design discharge of 8.15m3/s and a gross head of 108.45m. With a contract PLF of 58%, the annual contract energy production is ~36GWh with a dry energy mix of 16%. The project was commissioned on March 26, 2018, a month prior to its Required COD of April 2018, and is eligible for all five tariff escalations.
