Kathmandu. Beni Hydropower Project Company is going to issue IPO from March 14. The company is going to issue IPO for the local residents of the project-affected area and the Nepalese employed abroad.

Beni was allowed to issue an IPO of Rs 208 million i.e. 20 percent of the issued capital of Rs 1.04 billion. The company was allowed to issue 20,80,000 units of shares. Out of the offered, 10,40,000 units of ordinary shares worth Rs 100 per share will be issued to the locals of the project-affected area.

Out of the total 5,20,000 units of shares, the project has been allotted to Solududhkunda Municipality Ward No. 312,000 units will be distributed among the permanent residents of Ward No. 2, 3 and 4 of Sulududhkunda Municipality. The shares will be allotted to the permanent residents of Ward No. 5, 6, 7 and 11 and 208,000 units will be allotted to the permanent residents of other areas of the district.

In addition to this, 10% of the total offered shares to the general investors will be 100.05 million units of ordinary shares at a face value of Rs 100 per share.

Applications can be place for minimum 10 units and maximum 1000 units. For the locals of the project-affected areas, the issue will be closed on April 29 and the next date will be April 14. Similarly, the exodus for Nepalis who are in foreign employment will be closed on March 15 at the earliest and at the end of March 29.

ICRA Nepal has assigned ICRA NP Issue Rating Double B Plus to the company. This indicates that there is an average risk to the company’s ability to meet its obligations.

NMB Capital Limited has been appointed as the issue manager for the IPO issuance. The interested bidders can collect the application forms from Securities Board of Nepal (SEBON), Sallesi branch of NMB Bank, Laxmi Sunrise Bank, Solukhumbu branch of Global IME Bank and Necha Salyan branch of Prime Commercial Bank. Locals of the project-affected areas will have to pay Rs 2 to receive the application form.

NRB, Nepalese who are on foreign employment can apply for the ASBA service from the banks and financial institutions participating in the ASBA service and their designated branch offices through the ASBA system. In addition, the applicants can also apply online using CDS & Clearing Limited’s software ‘My Share’.