A letter of offer has been published by Mai Khola Hydropower Limited for its Initial Public Offering (IPO).

As of 8th Baisakh, 2080, 12,69,411 shares with a face value of Rs 100 will be issued by the company. This IPO is expected to raise Rs 12.69 crore for the company. This issue will close early on 12th Baisakh, 2080, and if it does not sell out, the closing date can be extended to 24th Baisakh, 2080.

Nepalese citizens who work abroad have already been issued and allocated 10%, or 152,941 units, out of the total 15,29,411 units. As of now, 2% or 30,588 units have been reserved for the company’s employees, while 5% or 76,471 units are reserved for mutual funds. A total of 12,69,411 units will be available to the general public. Following the IPO, the company will have a paid-up capital of Rs. 39.21 crores.

A total of 392,157 shares worth Rs. 3.92 crores were issued by the company earlier this year to the project’s affected locals, and 152,941 shares were issued to Nepalese citizens abroad. The promoter shareholders own 51% of the company’s shares. After the IPO, the company’s total capital will be Rs 39.21 crore.

As the issue manager for the IPO, Prabhu Capital Limited has been appointed. There is a minimum order quantity of 10 units and a maximum order quantity of 50,000 units.

Mai Khola Hydropower Limited has been assigned an issuer rating of [ICRANP-IR] BB+ (pronounced ICRA NP issuer rating double B plus) by ICRA Nepal. This rating indicates that issuers have a moderate risk of default in meeting their financial obligations in a timely manner.

In 2073 B.S., Mai Khola Hydropower Limited was established as a private company. A 3 Mw hydropower project is going to be commenced in the very near future as the first project of Mai Khola Hydropower Ltd. In order to generate 18.30 GWh of energy, it is designed to take water from Super Mai Hydropower Project (7.8 MW) Tailrace Canal.