Upcoming IPO Share - Samling Power Company Limited

Samling Power Company Limited

Upcoming IPO Share Update

Samling Power Company Limited is opening its IPO issue from 2078/07/04 to 2078/07/08, 2078. If not subscribed by the early closing date, the issue will close on 2078/07/18. The company is about to issue an IPO worth Rs 73 million. Accordingly, Samling Power Company will issue 730,000 units of ordinary shares with a face value of Rs 100 per share. 

Upcoming IPO Share Details:

  • Samling Power Company Limited
  • Sector: Hydropower
  • No of Registered Share: 
  • Public Issue Size: 
  • Promoter Share: 
  • Issue Manager: Nepal SBI Merchant Banking Limited

Out of the total shares to be issued, 2 percent or 14,600 units of shares have been allotted for employees and 5 percent or 36,500 units of shares have been allotted for mutual investment funds. The general public will be able to apply for the remaining 678,900 units.

The general public can apply for the shares till October 25 (Kartik 8, 2078). If the full application is not received within that period, the application date will be extended till 4th November 2021 (18th Kartik 2078). You will have to apply for a minimum of 10 units of shares and you will have to apply for a maximum of 20,000 units of shares.

In the rating given for IPO issuance, ICRA Nepal has given ICRNP IR Double B minus rating to the company. This indicates that Samling Power Company has moderate risk in fulfilling its financial obligations.

The issuance and sale manager of Samling Power Company is Nepal SBI Merchant Banking Limited. The public can apply from all C-ASBA member banks and financial institutions approved by the Securities Board of Nepal (SEBON) and their branch offices and the MeroShare app.

7,30,000 unit shares will be issued at a par value of Rs. 100 per unit. This is 14.6% of the company's issued capital. 2% of the issue worth 14,600 shares have been allocated for employees of the company and 5% worth 36,500 shares for mutual funds. The remaining 678,900 shares are purely for the individual public.

Nepal SBI Merchant Banking Limited has been appointed the issue manager. Applicants can apply for a minimum of 10 units to a maximum of 20,000 units. ICRA Nepal has given the issuer rating of Double B Minus, denoting a moderate risk of default regarding timely servicing of financial obligations.

Samling Power Company was registered in the Office of the Company Registrar, Government of Nepal as a private company on 2070/12/23 in order to identify the feasibility, construction, and operation of hydropower projects in Nepal. This company has been operating in the name of Samling Power Company Limited by transforming into a public limited company on 2076/2/24 for the purpose of expanding public participation of the residents and general public of the project affected area.

The company has already entered into a power purchase agreement with the Nepal Electricity Authority (NEA) for the purpose of selling the electricity generated from its project.

The company has already brought in operation 9.51 MW Maibeni hydro projects in the Ilam district from Aswin 1, 2078. Located in the middle reach of Mai River in the Ilam district of the eastern part of Nepal, Mai Beni Hydropower Project is a Run-of-River type hydropower project with an installed capacity of 9.51 MW.

The simple payback period of the company's project is 7.07 years and the discounted payback period is 12.24 years.

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