The Nepal Stock Exchange (NEPSE) adjusted the share price of People’s Power Limited (PPL) following the company’s announcement to issue rights shares Today. This change came after the company’s book closure for the purpose of offering 50% rights shares to existing shareholders.
Before the adjustment, the final trading price of PPL shares on Sunday was Rs. 491.70. After the rights offering adjustment, NEPSE revised the share price to Rs. 361.13. This new price reflects the dilution effect due to the additional shares being issued.
The adjusted price will be the starting price for trading on the secondary market from today.
People’s Power Limited is planning to issue rights shares in a 1:0.5 ratio, meaning shareholders will receive one new share for every two shares they own. In total, the company will issue 3,163,000 shares with a face value of Rs. 100 per share.
Takeaways:
- Reason for Price Adjustment: 50% rights share issuance.
- New Adjusted Price: Rs. 361.13 (down from Rs. 491.70).
- Trading Resumes at Adjusted Price: From June 16, 2025.
- Rights Ratio: 1 share for every 2 held.
- Total Rights Shares: 3.16 million shares at Rs. 100 each.
This adjustment ensures fair pricing in the market after dilution. Investors holding shares before the book closure will be eligible to apply for rights shares, potentially increasing their holding at a lower price.
