Terhathum Power Opening Its IPO for Locals From Today; Here’s What Investors Should Know About the Company Before Investing
Tue, Jul 20, 2021 5:50 AM on IPO/FPO News, Company Analysis, Stock Market, Exclusive,
Company Profile:
Incorporated on August 16, 2009, as a private limited company, Terhathum Power Company Limited (TPCL) was converted to a public limited company on June 21, 2018. The paid-up capital of the company as of mid-July 2019 was NPR 280 million, which is 100% promoter held. After the proposed IPO, the same would reach NPR 400 million and would be held in a ratio of 70:30 by the promoters and the public. The major shareholders include Mr. Mohan Kumar Dangi (8%), Mr. Bhupati Lal Shrestha (4%), Mr. Ganesh Prasad Kattel (4%), Mr. Pramod Shrestha (3%), Mr. Bijay Sambhample (3%), Mr. Dharma Raj Khadka (3%), Mr. Lachhuman Tiwari (3%), Mr. Shiva Nath Khapung (3%), Mr. Bhawani Prasad Khapung (3%), Mr. Yadav Khapung (2%) and Mr. Mohit Dangi (2%). The rest of the ~65% shares are held by 275 individual shareholders.
About the Issue:
The company is issuing 400,000 units as IPO to the Locals of Terhathum District at the par value of Rs. 100 per share to raise capital worth Rs. 4 crores.
|
Particulars |
Percentage |
Units |
Amount |
|---|---|---|---|
|
Total Capital |
100% |
4,000,000 |
400,000,000 |
|
Total Issue (For Projected affected locals) |
10% |
400,000 |
40,000,000 |
|
Issue Manager |
NIBL Ace Capital Limited |
||
|
Issue Open Date |
Shrawan-05, 2078 |
||
|
Issue Closing Date (earliest) |
Shrawan-19, 2078 |
||
|
Issue Closing Date (Late) |
Bhadra 02, 2078 |
||
|
Minimum Application |
10 |
||
|
Maximum Application |
60,000 |
The company is set to issue a total of 4 lakhs units of shares i.e., 10% of the total Capital from Shrawan-05, 2078. The earliest closing date is Shrawan-19, 2078. If the issue is not subscribed till the earliest closing date, then the issue will be extended till Bhadra-2, 2078.
NIBL Ace Capital Limited has been appointed as the issue manager.
CARE Rating:
ICRA Nepal has assigned a rating of [ICRANP] IPO Grade 4+ to the proposed IPO of Terhathum Power Company Limited (TPCL), indicating below-average fundamentals.
(Source: ICRA Nepal)
Board Members:
|
Board of Directors |
|
|---|---|
|
Name |
Position |
|
Bhupati Lal Shrestha |
Chairman |
|
Mohan Kumar Dangi |
Director |
|
Bhawani Prasad Khapung |
Director |
|
Lakshman Tiwari |
Director |
|
Shiva Nath Khapung |
Director |
|
Yadav Bahadur Khapung |
Director |
Capital Structure:
|
Authorized Capital |
400,000,000 |
|
Issued Capital |
400,000,000 |
|
Current Paid-Up Capital |
280,000,000 |
|
Capital after IPO Issuance |
400,000,000 |
Shareholding Pattern:
|
|
Number of Shares |
Amount |
Percentage |
Remarks |
|---|---|---|---|---|
|
Promoters Shareholders |
2,800,000 |
280,000,000 |
70% |
Already Issued |
|
Project affected locals |
400,000 |
40,000,000 |
10% |
To be Issued |
|
General Public |
800,000 |
80,000,000 |
20% |
To be Issued |
|
Total |
4,000,000 |
400,000,000 |
100.00% |
- |
Project Information:
|
Name of Project |
Upper Khorunga Small Hydropower Project |
|
Type of Project |
Run-of-the-River |
|
Installed Capacity |
7.5 MW |
|
Total Cost |
Rs. 1,341,710,008 |
|
Cost per Megawatt |
178,894,668 |
Uses of Funds:
|
Particulars |
Amount |
|---|---|
|
Payment of Civil and H&M |
60,000,000 |
|
Payment of Short-term from Machhapuchhre Bank |
60,000,000 |
|
Total |
120,000,000 |
Financial Highlights:
|
Particulars |
Actual |
Estimated |
|||||
|---|---|---|---|---|---|---|---|
|
2074/2075 |
2075/2076 |
2076/2077 |
2077 (Chaitra End) |
2077/2078 |
2078/2079 |
2079/2080 |
|
|
Total Paid-Up Capital ('000) |
233,431.00 |
280,000.00 |
280,000.00 |
280,000.00 |
400,000.00 |
400,000.00 |
400,000.00 |
|
Reserve & Surplus ('000) |
-4,608.41 |
-6,590.23 |
-42,719.00 |
-78,467.00 |
-70,243.00 |
-36,217.00 |
4,062.00 |
|
Debt ('000) |
131,628.36 |
672,770.10 |
1,022,751.00 |
1,079,817.00 |
1,005,131.00 |
1,314,105.00 |
1,271,284.00 |
|
Revenue ('000) |
23.25 |
0.00 |
28,363.00 |
85,002.00 |
117,759.00 |
187,568.00 |
243,107.00 |
|
Interest Expenses ('000) |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
|
Net Profit ('0000 |
-1,768.06 |
-1,981.82 |
-36,125.00 |
-35,748.00 |
-27,524.00 |
34,026.00 |
60,279.00 |
|
Earnings per share (Rs.) |
-0.76 |
-0.71 |
-12.90 |
-12.77 |
-6.88 |
8.51 |
15.07 |
|
Net worth per share (Rs.) |
98.03 |
97.65 |
84.74 |
71.98 |
82.44 |
90.95 |
101.02 |
|
Debt-Equity (times) |
0.58 |
2.46 |
4.31 |
5.36 |
3.05 |
3.61 |
3.15 |
|
Return on Equity (%) |
-0.77% |
-0.72% |
-15.22% |
-17.74% |
-8.35% |
9.35% |
14.92% |
