Kathmandu. From today, Bungal Hydro Limited is going to stop issuing IPO for the local residents of the project-affected areas. The company had issued the IPO in the first phase and for Nepalis in foreign employment from July 15.

The IPO issued to foreign employment holders has already been closed on July 15. The company had received permission to issue the IPO on June 15.

The company has received permission to issue a total of 2.9 million units of IPO worth Rs 290.5 million with a face value of Rs 100, or 35 per cent of the issued capital of Rs 830 million. Out of this, 830,824 units of ordinary shares worth Rs 83 million have been issued for the local residents of the project-affected areas.

Of the shares allocated for the residents of the project-affected areas, 65 percent will be distributed among the residents of the most affected areas i.e. Sudurpaschim Province, Bajhang District, Bungal Municipality-6 (erstwhile Pipalkot, VDC-4, 5 and 70) and Ward No. 7 (erstwhile Kafalseri VDC-10), while the remaining 35 percent will be distributed among the residents of the general affected area i.e. Bajhang District, Bungal Municipality 1, 2, 3, 4, 5. It has been reserved for the residents of 8, 910 and 11.

Similarly, 207,500 units of ordinary shares worth Rs 20.75 million, representing 10 per cent of the shares allocated for the general public, were issued to Nepalis working abroad after obtaining labour permit from the concerned bodies of the Government of Nepal.

Applications can be made for a minimum of 10,000 to a maximum of 20,000 units. Himalayan Capital Limited is the issue manager of the company. Local residents can apply from Nepal Investment Mega Bank, Kedarsu-1, Agriculture Development Bank, Bungal Municipality, Global IME Bank, Jaya prithvi municipality and project site.