People’s Power Limited (PPL) has completed the allotment process of its 1:0.5 ratio right shares on 5th Bhadra, 2082. The company had issued the right shares to strengthen its capital structure and provide existing shareholders an opportunity to increase their investment in the hydropower company.
Right Share Issue Details
The company had opened its right share issue of 31,63,000 units from 22nd Ashadh to 26th Shrawan, 2082. This issuance was conducted at a par value of Rs. 100 per share, making the total issue size Rs. 31.63 crore.
Earlier, the company had announced 2nd Ashadh, 2082 as the book closure date. Shareholders who maintained their holdings before this date were eligible to apply for the right shares.
Allotment and Results
Out of the total issue, the company allotted 27,71,221 shares to 91,938 valid applicants. However, a total of 3,91,779 shares (12.38%) remained unsubscribed during the issuance period.
For applicants who were not allotted shares or whose applications were unsuccessful, the company has arranged to refund their application money starting from 8th Bhadra, 2082.
Capital After Issuance
With the successful allotment of right shares, PPL’s paid-up capital has increased significantly. This enhanced capital base will support the company’s future hydropower projects and expansion plans, while also strengthening its financial standing in Nepal’s energy sector.
Issue Manager
The right share issue was managed by Prabhu Capital Limited, a well-known merchant bank in Nepal.
Key Takeaways for Investors
| Particulars | Details |
|---|---|
| Issue Size | 31,63,000 units of right shares |
| Book Closure Date | 2nd Ashadh, 2082 |
| Issue Period | 22nd Ashadh – 26th Shrawan, 2082 |
| Allotment Date | 5th Bhadra, 2082 |
| Refund Start Date | 8th Bhadra, 2082 |
| Shares Allotted | 27,71,221 units to 91,938 applicants |
| Unsubscribed Shares | 3,91,779 units (12.38%) |
Conclusion
The successful completion of the right share allotment marks another milestone for People’s Power Limited in its journey of contributing to Nepal’s hydropower sector. While the company managed to allocate a large portion of its issued right shares, the unsubscribed shares also reflect that some investors did not fully participate despite the 1:1 offering.
For shareholders, this allotment strengthens their stake in the company, while for the company, it brings in fresh capital to support future growth and stability.
Notice: People’s Power Limited Completes 1:0.5 Allotment of Right Shares
