Jhapa Energy To Float IPO | Appoints Civil Capital As Issue Manager
May 18, 2023 | Investopaper
Jhapa Energy Limited is in the process of issuing shares to the general public (IPO). For this purpose, the company has appointed Civil Capital Limited as the issue and sales manager.
An agreement has been reached between the company and Civil Capital on this regard.
Now, the company needs to submit the application to the Securities Board Of Nepal (SEBON) after completing the necessary procedures. Only after the approval from the regulatory body SEBON, the company can sell shares to the public.
In the first phase, the company will issue shares to the locals of the project affected areas and foreign employed Nepalese. Likewise, in the second phase, the company will float shares to the general public, including the employees of the company and the mutual fund schemes.
In total, the company plans to sell 6,00,000 shares that amounts to Rs. 6 crores in the public offering (IPO).
After the IPO (if fully subscribed), the general public (along with locals) will possess 30 percent share in the company while the promoters will hold the remaining 70 percent shares.
About Jhapa Energy Limited
Jhapa Energy Limited was established on October 02, 2018 as a public limited company.
The company is currently developing a 10-MW Jhapa Solar PV plant in Jhapa district. The project is a photo voltaic solar project.
The estimated cost of the project is Rs. 80 crores which translates into per MW cost of Rs. 8 crores. The project is being funded in a debt-equity ratio of 75:25.
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