Chhyangdi Hydropower To Float 1:1 Right Share | Application Submitted To SEBON

June 8, 2023 | Investopaper

Chhyangdi Hydropower Limited (CHL) is planning to sell right shares to the shareholders. For this purpose, the company has submitted the application to the Securities Board Of Nepal (SEBON) on Jestha 22, 2080 BS. Only after the approval from the regulatory body SEBON, the company can sell shares to the public.

The company will issue right shares in the ratio 1:1. This means that shareholders’ with 100 shares can apply for the additional 100 right shares.

Earlier, the company had decided to sell the right share in the ratio 1:1.5. However, as per the direction of regulatory body, the company had amended the ratio of right issuance.

As of Chaitra’s end 2079 BS, Chhyangdi Hydropower has a paid-up capital of Rs. 38.68 crores. Hence, CHL has plans to float 38.69 lakh shares in the right offering. At a par value of Rs 100, the right issue amounts to Rs 38.69 crores.

The hydropower company has appointed BOK Capital Markets Limited as the issue and sales manager.

After the right issue, the paid-up capital will reach Rs. 77.38 crores.