Sambhi Energy Opens IPO for Locals and Overseas Nepali Workers

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Sambhi Energy Opens IPO for Locals and Overseas Nepali Workers

Sambhi Energy has announced the launch of its Initial Public Offering (IPO), starting from Baisakh 5 (April 18, 2024). The company aims to distribute shares to residents of its project-affected areas in Ilam district and Nepali citizens working abroad. Here’s a simplified breakdown of the IPO details:

Key Highlights of the IPO

Sambhi Energy IPO key details

  1. Total Issued Capital: NPR 88 Crores (88,00,00,000)
    • 43.07% (37,50,00,000 NPR) allocated to residents of project-affected areas.
    • 33.07% (29,10,00,000 NPR) reserved for the general public.
    • 10% (8,80,00,000 NPR) set aside for Nepalis working abroad.
  2. Share Price: NPR 100 per share.

Eligible Applicants

A. Project-Affected Local Residents

Regions Covered:

  • Ilam Municipality Ward No. 10 (formerly Godak Rural Municipality Wards 1-9).
  • Maijogmai Rural Municipality Wards 1, 3, 4 (formerly Nayabazaar and Namsaling Rural Municipalities).
  • Suryodaya Municipality Wards 10 & 11 (formerly Fikkal and Panchakanya Rural Municipalities).

Share Allocation:

  • 8,80,000 shares (8.8 Crore NPR) for locals.
  • Minimum Application: 10 shares (NPR 1,000).
  • Maximum Application: 20,000 shares (NPR 20,00,000).

B. Nepalis Working Abroad

Share Allocation:

  • 2,81,000 shares (2.81 Crore NPR).
  • Minimum Application: 10 shares (NPR 1,000).
  • Maximum Application: 20,000 shares (NPR 20,00,000).

Important Deadlines

IPO Deadline for the application

Net Worth Details of the Company

Net Worth Details of the Company

Issuer Rating of Sambhi Energy as per Securities Regulations

According to the public issue prospectus, in compliance with the provisions of the Securities Registration and Issue Regulation, 2073 (2016 AD), it is mandatory for the company to obtain an issuer rating before issuing ordinary shares. Therefore, as per Rule 3 of the Credit Rating Regulation, 2068 (2011 AD), the company has obtained an issuer rating from CARE Ratings Nepal Ltd., a credit rating agency authorized by the Securities Board of Nepal.

The issuer rating was awarded on December 24, 2024, with the rating [CARE-NP BB+ (IS)], which stands for Double B Plus (Issuer). This rating indicates a moderate risk of default in fulfilling financial obligations on time.

The validity of this rating extends until February 27, 2026.

CARE Ratings Nepal Ltd. provides ratings ranging from CARE-NP AAA (IS) to CARE-NP D (IS):

  • CARE-NP AAA (IS) signifies a strong foundation and the highest safety.

  • CARE-NP D (IS) represents the weakest foundation and high risk of default.

  • Ratings between CARE-NP BBB (IS) to CARE-NP BB (IS) indicate average standing.

  • CARE-NP B (IS), CARE-NP C (IS), and CARE-NP D (IS) reflect below-average positions.

The use of the “+ (Plus)” symbol in ratings denotes a relatively better standing within the given rating category.