Kathmandu. Bungal Hydro Limited is going to issue primary shares (IPO) for the local residents of the project-affected areas and Nepalis in foreign employment from July 1.

The company has received permission to issue 2.9 million units of shares worth Rs 290.5 million, or 35 per cent of its issued capital of Rs 830 million. A total of 830,824 units of ordinary shares worth Rs 83 million will be opened for the residents of the project-affected areas at the rate of Rs 100 per share.

Out of the shares allocated for the project-affected areas, 65 per cent will be allotted to the residents of the most affected areas in Bungal Municipality Ward No. 6 (erstwhile Pipalkot VDC-4, 5, 7) and Ward No. 7 (erstwhile Kafalseri VDC-10) of Bajhang district. Similarly, the remaining 35 percent will be for the residents of Bungal Municipality-1, 2, 3, 4, 5, 8, 9, 10 and 11 of the generally affected areas.

Similarly, 207,500 units of shares worth Rs 20.75 million have been set aside for Nepalis working abroad with a labour permit, with a face value of Rs 100 per share.

Applications can be made for a minimum of 10 units and a maximum of 20,000 units. For the project-affected areas, the project will be closed at the earliest on July 15 and applications can be submitted till July 15. However, the application period for Nepalis living abroad will be limited to July 30.