KATHMANDU, Aug 11: Mabilung Energy Company has opened its Initial Public Offering (IPO) for the general public starting Monday. This follows the first phase of share issuance targeted at locals from project-affected areas and Nepalis working abroad.
In this second phase, the company has allocated 1,248,904 shares worth Rs 124,890,400 to general investors. Applicants can apply for a minimum of 10 shares and up to 50,000 shares. The subscription will remain open until August 25, with the earliest closing date on August 14 if fully subscribed.
The company had earlier received approval from the Securities Board of Nepal (SEBON) to issue 1,890,530 shares worth Rs 189,053,000 — representing 48.99 percent of its issued capital of Rs 385,824,000.
Credit rating agency ICRA Nepal has assigned Mabilung Energy a rating of [ICRANP-IR] B+, indicating an average level of risk in meeting its financial obligations.
Mabilung Energy operates the 4.95 MW Upper Piluwakhola-3 Hydropower Project, which has an estimated total cost of Rs 1.136 billion. The IPO issuance and sales management is being handled by Laxmi Sunrise Capital Limited.
As of the end of last FY, the company reported a retained profit of Rs 12.4 million, earnings per share of Rs 1.05, and a net worth per share of Rs 105.90.
Source: Republica
