Synergy Power IPO collected approx. Rs 40 crore from 6,500 applicants on first day; IPO closing date extended for one more day


    Synergy Power Development Limited has been issuing 21, 00,000 unit shares worth Rs 21 crore as part of its Initial Public Offering (IPO) for the general public from Poush 8, 2073 at face value of Rs 100.

    The IPO has been oversubscribed by more than 2 times on the first day (Friday).

    As per an official of Sanima Capital Limited “The total collection of the IPO is approximately Rs 40 crore on the first day. Around 6,500 application forms were received.

    The closing date has been extended for one more day due to the public holiday of Christmas. The IPO will close on Poush 13, 2073 added the official.

    Interested people must apply for a minimum of 50 units of share and they can apply for up to 21,000 units of share.

    Sanima Capital Limited has been assigned as the issue manager for the IPO issue.

    The hydropower company has set aside 3% or 63,000 unit shares for its employees and 5% or 105,000 unit shares for the 10 mutual fund companies. The mutual fund schemes are Nabil balance fund-1, NMB Sulav Investment Fund – 1, NIBL Sambriddhi Fund – 1, Laxmi Value Fund -1, Siddhartha Equity Oriented Scheme, Siddhartha Investment Growth Scheme- 1, Global IME samriddhi Fund-1, Nabil Equity Fund , NMB Hybrid Fund L-1 and NIBL Pragati Fund. The company has set aside 19, 32, 000 unit share to the general public.

    After the IPO, the paid up capital will reach Rs 70 crore from the currentcapital which includes 42 crore promoter and 7 crore collected from the project-affected area. The hydropower has authorized capital of Rs 70 crore.

    After the IPO, the promoter-people of affected area (Dolakha District) – public ratio of the company will be 60% to 10% to 30%.

    Synergy Power is developing 10MW Sipring Khola Hydropower Project at Dolakha district.

    ICRA Nepal has assigned an “[ICRANP] IPO Grade 4”, indicating below-average fundamentals to the proposed Initial Public Offering (IPO) of Synergy Power Company.


    Source : Share Sansar