A total of 18,27,970 Balephi Hydropower Ltd. IPO shares will be issued from Magh 27, 2078 to residents of the project-affected district of Sindhupalchowk.
From Magh 27 to Falgun 12, locals can submit their IPO applications. The issue may be extended until March 27, 2078, if unsubscribed. Locals interested in constructing can place their applications for a minimum of 10 units and a maximum of 1,000,000 units.
The IPO will be managed by Global IME Capital Limited.
1,82,79,700 registered shares of the company will be issued to the general public, including 3,655,940 shares for locals. Those shares represent 20% of the paid-up capital of the company.
Following the two phases of the IPO, first to locals, then to the general public, the promoters: public shareholding ratio of the company will be 80:20, and the paid-up capital will be Rs 1.82 arba.
Balephi Hydropower Limited was incorporated under the company act of 2006 on 30th of Falgun, 2068. On 17th Poush 2070, it was also registered with the department of industry, and it went public on 18th Poush 2073. The Upper Balephi A Hydropower Project is being built by Balephi Hydropower in the Sindhupalchowk district.
The company is allowed to develop, generate, and sell electricity from the project for 35 years, according to rating agency ICRA Nepal. There are 36 MW of installed capacity in the hydropower project. During construction, the project is estimated to cost Rs. 607 crores, including interest.
As part of the Power Purchase Agreement (PPA) with Nepal Electricity Authority, the company will sell electricity at a rate of Rs. 4.8 and Rs. 8.4 per KWH in the wet and dry seasons, respectively, with escalations of 3% per year for nine years.
According to ICRA Nepal, this initial public offering (IPO) is graded [ICRANP] IPO Grade 4+, indicating below-average fundamentals.