Kathmandu: Balephi Hydropower Limited has announced that it will open its rights share from Mangshir 27. The company plans to issue rights shares equivalent to 100% of its current paid-up capital.
This means that for every existing share, the company will issue one new share in a 1:1 ratio. The company will issue a total of 18,279,700 rights shares with a face value of 100 rupees per share, amounting to 1,827,970,000 rupees.
To facilitate the rights issue, the company had closed its book on Kartik 21. As per the schedule, existing shareholders who have shares traded on the Nepal Stock Exchange (NEPSE) by Kartik 20 will be eligible to apply for the rights shares. The deadline for submitting applications for the rights shares will be Poush 17.
In the rating for the rights issue, Infometrics Credit Rating Nepal has assigned a rating of IRN Double B to the company. This indicates a moderate risk in the company’s ability to meet its financial obligations on time.
The issue and sales manager for the rights issue is NIMB Capital Limited. Investors can submit their applications through NIMB Capital, as well as the Kumari Bank’s Jalbire and Jugal branch offices. Additionally, applications can be submitted through the ‘Mero Share’ online platform, which can be accessed via the Central Depository System (CDS) and Clearing Limited or through designated branches of participating banks and financial institutions authorized by the Securities Board of Nepal.
The company’s current paid-up capital stands at 1,827,970,000 rupees. After the rights issue and allotment, the paid-up capital will increase to 3,655,940,000 rupees.
The funds raised through the rights issue will be used to partially repay the bank loan of 140,000,000 rupees taken for the project’s construction, fully repay a promoter’s loan of 30,644,686.39 rupees, and clear outstanding payments to contractors and vendors amounting to 12,152,313.61 rupees.
