Kathmandu – The much-awaited IPO allotment of Jhapa Energy Limited has been completed, with only a small fraction of applicants securing shares.
Managed by Himalayan Capital, the allotment was finalized through an official event earlier today.
Out of a total 1,833,738 valid applications, only 47,333 applicants were allotted shares through a lucky draw. Among them, 6 fortunate individuals received 11 units each, while the rest got 10 units each — the standard allotment. Unfortunately, over 1.78 million applicants walked away empty-handed.
Investors can check their allotment status by visiting iporesult.cdsc.com.np.
The company had opened its IPO to the general public on Bhadra 20 (early September), drawing widespread interest from retail investors across the country.
Jhapa Energy is currently developing a 10-megawatt solar power project in Shivasatakshi Municipality, Jhapa. The total estimated cost of the project is Rs. 879 million, averaging Rs. 87.9 million per megawatt.
The company holds a generation license with 22 years remaining and estimates a payback period of 9.55 years for equity investors.
However, from a financial perspective, the picture isn’t entirely rosy. Jhapa Energy received a ‘B–’ credit rating from ICRA Nepal, indicating a moderate risk. As of the end of the last fiscal year, the company reported a negative Earnings Per Share (EPS) of Rs. 4.72, a net worth per share of Rs. 95.40, and accumulated losses of Rs. 13.1 million.
Despite the current financial strain, investors are optimistic about the company’s long-term potential, especially given the rising focus on renewable energy in Nepal.
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