Kathmandu: Apollo Hydropower Limited has opened the first phase of its initial public offering (IPO) starting today (Falgun 11), targeting residents of project-affected areas and Nepalis working abroad.
The company received approval from the Nepal Securities Board to issue 1.41 million shares worth NPR 141 million, representing 30 percent of its issued capital.
In this initial phase, 470,000 shares have been allocated to local communities affected by the hydropower project. Of these, 235,000 shares are reserved for residents of Ward Nos. 7 and 8 of Khijidemba Rural Municipality in Okhaldhunga district, categorized as highly affected areas. A further 141,000 shares have been set aside for residents of Likhu Pike Rural Municipality–2 in Solukhumbu and Umakunda Rural Municipality–3 in Ramechhap, identified as moderately affected areas. Additionally, 94,000 shares are allocated to residents of Umakunda Rural Municipality–2 and Gokulganga Rural Municipality–1 in Ramechhap, considered less affected zones.
The company has also earmarked 94,000 ordinary shares for Nepalis employed overseas.
Project-affected locals can apply for a minimum of 10 shares and up to 47,000 shares at a face value of NPR 100 per share. Nepali migrant workers may apply for a minimum of 10 shares and up to 94,000 shares.
According to the company, the application deadline for local residents is as early as Falgun 25, with a possible extension into Chaitra if undersubscribed. For Nepalis working abroad, the deadline is as early as Falgun 14 and no later than Falgun 25.
The issue and sales manager for the IPO is Himalayan Capital Limited. For the offering, credit rating agency CARE Ratings Nepal has assigned the company a ‘Double B Minus’ rating.
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