Shuvam Power Issuing 58,058 Unit IPO Shares to Nepalese Employed Abroad from Today
Wed, Dec 21, 2022 10:01 AM on IPO/FPO News, Latest,
Shuvam Power Limited (SHUVAM) is opening the issue of its Initial Public Offering (IPO) to Nepalese citizens working abroad from today i.e 6th Poush, 2079.
The company will issue 58,058 unit shares of Rs 100 face value from today till 20th Poush, 2079. The company intends to collect Rs 58.05 lakhs from this IPO.
Earlier, the company had issued 2,00,000 unit IPO shares which are 10% of the issued capital of Rs. 20 crores to the project-affected locals of Sankhuwasabha district from Jestha 20, 2075 to Ashadh 24, 2075. However, only shares worth Rs 19.42 lakh or 19420 units were sold to the valid applicants.
Thus, the remaining 180,580 units of unsubscribed shares are added to 400,000 units (which is 20% of shares reserved for the general public) to make a total of 580,580 units which will be issued later for the general public. Of this public issue, 10% of the shares totaling 58,058 units shares have been allocated for Nepalese citizens working abroad, the issue of which will open today.
Muktinath Capital is appointed as the issue manager for the IPO issuance. Applications can be placed for a minimum of 10 units and a maximum of 5000 units.
After the IPO the promoter-public share ratio will be 70: 30 and the total capital of the company will increase to Rs 20 crore.
Shuvam Power Limited is a public limited company, incorporated on December 29, 2015. SPL is involved in the operation of the 0.99MW run-of-the-river Lower Piluwa Khola Small Hydroelectric Project (LPKHP) at Sankhuwasabha District which has been in commercial operation since July 17, 2011. The company obtained the Generation License, from the Government of Nepal – Ministry of Energy on April 15, 2008.
CARE Ratings Nepal Limited (CRNL) has assigned the issuer rating assigned of ‘CARE-NP BB+ (Is)’ to Shuvam Power Limited. Issuers with this rating are considered to have a moderate risk of default regarding the timely servicing of financial obligations in Nepal.
