A new wave of right share offerings has hit Nepal’s stock market (NEPSE). Currently, 3 listed companies are issuing right shares, while 3 more have already fixed dates for issuance. Additionally, 14 companies are seeking approval from the Securities Board of Nepal (SEBON) to issue rights in the near future.
Interestingly, hydropower companies dominate this trend – out of the 6 companies either issuing or about to issue rights, 5 belong to the hydropower sector.
These 3 companies are currently issuing right shares
- Terhathum Power Company Limited
- Issue opened: Asar 16 (June 30)
- Ratio: 1:1 (100% right share)
- Total units: 4 million
- Total value: NPR 400 million
- Application deadline: Shrawan 4 (July 19)
- Issue manager: Nabil Investment Banking
- Rapti Hydro and General Construction Ltd
- Issue opened: Asar 1 (June 15)
- Ratio: 1:1
- Total units: 6,127,938
- Total value: NPR 612.79 million
- Application deadline: Asar 22 (July 6)
- Chyangdi Hydropower Ltd
- Issue opened: Jestha 23 (June 5)
- Ratio: 1:1
- Total units: 3,869,775
- Total value: NPR 386.98 million
- Application deadline: Asar 27 (July 11)
These 3 companies are opening right shares soon
- People’s Power Limited
- Issue opening: Asar 22 (July 6)
- Ratio: 1:0.5 (50% right share)
- Units: 3,163,000
- Total value: NPR 316.3 million
- Book closure: Asar 2 (June 16)
- Eligible investors: Those holding shares till Asar 1 (June 15)
- Application deadline: Shrawan 11 (July 26)
- Barun Hydropower Company Limited
- Issue opening: Asar 31 (July 15)
- Ratio: 1:1
- Units: 5,358,150
- Total value: NPR 535.8 million
- Book closure: Jestha 22 (June 4)
- Eligible investors: Till Jestha 21 (June 3)
- Application deadline: Shrawan 19 (August 3)
- Asian Life Insurance Limited
- Issue opening: Asar 25 (July 9)
- Ratio: 1:0.42 (42% right share)
- Units: 14,279,312.48
- Total value: NPR 1.42 billion
- Book closure: Jestha 16 (May 29)
- Eligible investors: Till Jestha 15 (May 28)
- Application deadline: Shrawan 4 (July 19)
This right share surge is mainly aimed at raising capital for business expansion and infrastructure development, particularly in the hydropower sector. With more companies awaiting SEBON’s approval, investors should stay alert for further right share opportunities in the coming months.
