KATHMANDU, Sept 5: Jhapa Energy has opened its Initial Public Offering (IPO) for the general public, issuing 473,336 shares worth Rs 47.33 million from Friday.
The company had earlier allocated shares to project-affected locals and Nepalis working abroad before opening the shares for the wider public. Investors can apply for a minimum of 10 shares and up to 5,000 shares at a face value of Rs 100 per unit. The IPO will remain open until September 9.
Mabilung Energy allocates IPO shares to 124,890 applicants, 10...
Jhapa Energy has been permitted to issue a total of 950,475 shares worth Rs 950.47 million, equivalent to 25 percent of its issued capital of Rs 380.1 million. Of this, 380,190 shares were allotted to locals and 57,029 shares to migrant workers.
Himalayan Capital is managing the IPO. The company has been generating electricity since January 2024, with Nepal Electricity Authority purchasing power at Rs 7.30 per unit.
Credit rating agency ICRA Nepal has assigned the company an ICRA NP Issuer Rating Single B Minus, indicating a high risk regarding its ability to meet financial obligations. As of mid-April 2024, the company had an accumulated loss of Rs 13.1 million, with a net worth per share of Rs 95.40 and a negative earnings per share of -4.72 percent.
