IPO Allotment Of Rawa Energy Development Concluded [IPO Result !!]
June 14, 2023 | Investopaper
IPO Allotment Of Rawa Energy Development Limited
Prabhu Capital Limited, the issue manager for the initial public offering (IPO) of Rawa Energy Development Limited, has concluded the IPO allotment process on Tuesday.
After the allotment, 64,366 applicants have received 10 shares each. Out of these, 7 have received an additional shares through lotterly.
A total of 11,85,206 applicants had subscribed for the shares. With the allotment, more than 11.21 lakh applicants were left empty-handed.
To view the IPO result of Rawa Energy Development Limited, click the link below:
IPO Result Of Rawa Energy Development Limited
Second Phase: IPO To General Public
After issuing shares to the locals and foreign employed Nepalese in the first phase, Rawa Energy Development Limited had sold shares to the general public in the second phase of the Initial Public Offering (IPO). The IPO to general public was open from Jestha 18, 2080 BS.
The company had 6,96,330 shares in the second phase of the IPO. This included 192,330 shares that remained under-subscribed in the first phase. Out of the total shares, 37,616 shares were allotted to the mutual fund schemes while 15,047 shares were reserved for the employees of the company. Hence, the general public could participate in the remaining 6,43,667 shares.
Due to over-subscription of shares, the public offering was closed on Jestha 22, 2080 BS.
One could apply for a minimum of 10 shares and a maximum of 10,000 shares.
First Phase: IPO To Locals & Foreign-Employed Nepalese
In the first phase of the IPO, the company had sold shares to the locals of the project affected areas and to the Nepalese in Foreign Employment from Chaitra 23, 2079 BS.
The IPO to locals was closed on Baisakh 24, 2080 BS. Previously, the issue was set to close on Baisakh 7, 2080 BS. However, due to under-subscription until that period, the deadline for application was extended.
Similarly, the IPO to the foreign-employed Nepalese was closed on Baisakh 7, 2080 BS.
The company had issued 10 percent of the issued capital i.e. 2,80,000 shares to the locals of Khotang District.
Likewise, the company sold 56,000 shares to the Nepalese in foreign employment (10 percent from general public’s quota).
In total (including first and second phase), the company has plans to sell 8.4 lakh shares in the IPO at a face value of Rs 100. Hence, the public issue amounts to Rs 8.40 crores.
Securities Board of Nepal (SEBON) had given the approval to the company on Falgun 25, 2079 BS. The company had submitted the application to the board on Ashad 13, 2079 BS. Only after the approval from the regulatory body, the company can sell the shares to the public.
Prabhu Capital Limited is the issue and sales manager. The agreement for public offering was inked by Mr. Badri Prasad Gautam, chairman of Rawa Energy and Mr. Dinesh Thakai, Managing Director of Prabhu Capital Limited.
At current, Rawa Energy Development Limited is operating a 3 MW Upper Rawa Khola Small Hydropower Project in Khotang District.
After the IPO (if fully subscribed), the general public along with locals will possess 30 percent shares in the company while the promoters will hold the remaining 70 percent shares.
Recommended:
