Rawa Energy Development IPO Closing From Today For Nepalese Employed Abroad; Deadline Extended for Locals Till Baisakh 24
Thu, Apr 20, 2023 8:31 AM on Latest, IPO/FPO News,
Rawa Energy Development Limited is closing the issue of its IPO to the Nepalese citizens working abroad from today i.e. 7th Baisakh, 2080, and has extended the IPO issue deadline for project-affected locals till 24th Baisakh. The issue had opened on 23rd Chaitra, 2079.
The issued capital of the company is Rs. 28 Crores of which 10% i.e. 2,80,000 unit shares worth Rs. 2.8 crores have been allocated to project-affected locals of Khotang District. Meanwhile, 20% of the company's issued capital i.e. 560,000 unit shares will be issued later for the general public. Of this public issue, 10% of the shares totaling 56,000 units shares have been allocated for Nepalese citizens working abroad, the issue of which will close today.
For the project-affected locals, the minimum application quantity is 10 units while the maximum quantity is 10,000 units. Meanwhile, for Nepalese citizens working abroad, the minimum application quantity is 10 units while the maximum quantity is 2,800 units.
Prabhu Capital Limited is appointed as the issue manager. The promoter-public share ratio will be 70: 30 after this IPO.
According to CDSC, 19,874 applications have been received through Nepalese citizens working abroad for a total of 456,960 units. Thus, the issue is already oversubscribed by 8.16 times so far.
CARE Ratings Nepal Limited (CRNL) has assigned the issuer rating assigned of ‘CARE-NP BB (Is)’ to Rawa Energy Development Limited. Issuers with this rating are considered to have a moderate risk of default regarding the timely servicing of financial obligations in Nepal.
Rawa Energy Development Ltd is a public limited company, incorporated on August 16, 2009, as a private limited company and later converted to a public limited company on June 28, 2019. It is promoted by business persons having long experience in hydropower and other sectors for setting up Hydroelectric Projects (HEP) in the territory of Nepal. The company has a 3 MW Upper Rawa Khola Small Hydropower Project (URKHP) in Khotang District which has been in commercial operation since September 20, 2020. The project is constructed under BOOT (Build, Own, Operate, and Transfer) mechanism.
