United Modi Hydropower IPO crosses Rs 1.74 arba from around 14,200 applicants till last day; oversubscribed by 15.13 times

    314

    United Modi Hydropower Limited had issued 11,50,000 unit shares worth Rs 11.50 crore as part of its Initial Public Offering (IPO) at face value of Rs 100 for the locals of project affected people of Parbat district from Bhadra 26, 2073 till Ashwin 9, 2073.

    Mr. Badri Pyakurel, Merchant banking head of NIBL Capital Markets Limited said, “The total collection of the IPO reached approximately Rs 1.74 arba (Oversubscribed by 15.13 times). Around 14,200 application forms were received. It is only tentative data, final data may change.”

    Interested people were required to apply for a minimum of 50 units of share and they can apply for up to 10,000 unit of share.

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

    The authorized capital of company is Rs 1 arba 25 crore.  The paid up capital of the company remains at Rs 86.25 crore. After the IPO for the locals of project affected area, the paid up will reach Rs 97.25 crore.

    After the IPO for the locals of project affected area, the company will be floating 17.25 lakh units shares  worth Rs 17.25 crore i.e. 15% of the paid up capital as a part of IPO for the general public and staff of United Modi hydropower.

    After the IPO, the promoter-people of affected area (Parbat district) – public ratio of the company will be 75% to 10% to 15%.

    ICRA Nepal has assigned an “[ICRANP] IPO Grade 3”, indicating average fundamentals to the proposed Initial Public Offering (IPO) of United Modi Hydropower Limited.

    United Modi Hydropower is developing 10 MW Lower 1 and 10.5 MW Lower 2 Modi Hydropower Project at Parbat district.

    United Modi Hydropower has already completed Lower Modi-1 and it was connected to National Grid in the year 2069. 10 MW Lower Modi-1 is situated at parbat District.The company has plans to move forward with Lower Modi-2 Hydroelectricity project with the help of the district people of the project area and the general public.  Lower Modi is 10.5 MW project.

    Source : Share Sansar