SEBON Approves Major 100% Rights Issue of Khani Khola Hydropower

Nepal’s capital market regulator, the Securities Board of Nepal (SEBON), has granted approval to Khani Khola Hydropower Company Limited to issue a 100% rights share offering. This means the company will issue one rights share for every one share currently held by shareholders.

Khani Khola Hydropower will issue 46,57,143 units of rights shares in a 1:1 ratio, effectively doubling its paid-up capital. Citizens Capital Limited will act as the issue manager for this rights offering.

The company has stated that the funds raised through this rights issue will primarily be used to repay bank loans, helping improve its financial health and reduce its debt burden.

Currently, Khani Khola Hydropower’s paid-up capital stands at Rs 46.57 crore. After the successful allotment of the rights issue, the capital will reach Rs 93.14 crore, strengthening the company’s equity base.