Hydroelectricity Investment & Development Company Limited (HIDCL) is floating its Initial Public Offering (IPO) worth Rs 2 arba (2 crore units shares) from Kartik 12, 2072.
The offer will close on Kartik 16 at the earliest. The maximum closing date for the offer is Kartik 29, 2072.
Interested people must apply for a minimum of 50 units of share and they can apply for up to 50, 00,000 unit of share.
The hydropower company is issuing a total 2 crore units of ordinary shares at face value of Rs 100. The company has allocated 10 lakhs units shares for the six mutual funds, 4 lakhs units shares for the staff members of HIDCL and 1 crore 86 lakhs units for general public.
The issue managers for the IPO are Citizen Investment Trust, NCM Merchant Banking Limited and NMB Capital Limited.
The authorized and issued capital of company is Rs 50 arba and Rs 10 arba respectively. The Paid up capital of the company remains at Rs 8 arba. After the IPO, the paid up will reach Rs 10 arba. The net profit of last fiscal year stands at Rs 43.34 crore. HIDCL projected net profit for the fiscal year 2072/73 is Rs 56.03 crore.
ICRA Nepal, it has assigned ‘(ICRANP) IPO Grade 3’ to the IPO of Hydroelectricity Investment and Development Company which means that the offering holds average fundamentals.
Earlier, HIDCL has distributed 5 percent cash dividend to its existing shareholders.
HIDCL was formed in 2011. HIDCL issued capital is Rs 10 billion and paid up capital is Rs 8 billion. HIDCL paid up capital will be Rs 10 billion once IPO is issued to the general public. The company established for mobilizing funds from domestic and international resources to fund medium sized and big hydropower projects and transmission lines has so far co-financed a total of six hydropower projects with capacities ranging from 23.5 MW to 82 MW.