Swet Ganga Hydropower to issue IPO from July 19

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Swet Ganga Hydropower & Construction Limited is set to commence the sale of Initial Public Offering (IPO) of securities. The company is set to commence IPO sale from July 19 at a face value of Rs 100 per share.

The company will issue 2,389,500 IPOs worth Rs 238.95 million. Out of which five percent or one lakh 19 thousand 475 shares have been secured by Collective Investment Fund and the remaining 22 lakh 70 thousand 25 shares have been set aside for IPO holding.

The company has launched an IPO for the residents of the project affected areas and is now launching it for the public.

Interested investors may apply from all C-ASWA member banks and financial institutions, MyShares, approved by the Securities and Exchange Board.

Investors will be able to apply for a minimum of 10 lots and a maximum of 10,000 lots. Sanima Capital is the company’s IPO Sales Manager.

CARE Rating Nepal has given CareNP Double B IS rating to the company in the rating given for the IPO issue. This indicates a moderate risk in the company’s ability to bear responsibility.

The company is building the 28.1 MW Lower Likhu Hydroelectric Project. The total estimated cost of the project is Rs 6.37 billion.

Swet Ganga Hydropower & Construction Ltd. (SGHCL) was registered in Department of Industry on 17 Falgun 2061 (28 February 2005) in Kathmandu Nepal as per the prevailing Company Act of Nepal Government. SGHCL is a sister organization of Sanima Hydro Group. It is special purpose vehicle (SPV) to develop and implement Tallo Likhu Jalvidhyut Aayojana with installed capacity of 28.1 MW. The project is a Run-of-River (RoR) type project lying at Ramechhap, Bagmati Provience and Okhaldhunga District, Providence 1, Nepal. .

The entire project area lies in Likhu Tamakoshi Rural Municipality of Ramechhap District on the right bank of Likhu River. However, the left end of the diversion Weir touches left bank of Likhu River which lies at Likhu Rural Municipality of Okhaldhunga district. The electricity generated from the project will be connected to national grid through 23 km long, 132 kV transmission line at new Khimti substation