Bikash Hydropower IPO Gets SEBON Approval for Rs. 44.54 Crore Offering

The IPO of Bikash Hydropower Company Limited has officially received approval from the Securities Exchange Board of Nepal (SEBON), marking a significant milestone in the company’s journey toward becoming publicly listed. With the SEBON approval, the hydropower company is all set to issue equity shares worth Rs. 44.54 crore in the upcoming phases.

IPO Structure: Reserved Quotas and General Public Issue

The IPO is being launched in several phases with dedicated quotas for different groups of investors.

1. Project-Affected Locals (Gorkha District)

Number of Shares: 9,09,101 units
Value: Rs. 9.09 crore
Eligibility: Locals affected by the Upper Machha Khola Hydropower Project
Application Window: 6th Jestha – 20th Jestha, 2082
Min/Max Application: 10 to 10,000 units

2. Nepali Citizens Working Abroad

Reserved Shares: 3,54,550 units (10% of public issue)
Oversubscription: Already oversubscribed 4.09x with 62,527 Applicants
Application Window Closed: 20th Jestha, 2082
Min/Max Application: 10 to 10,000 units

3. General Public (Upcoming Phase)

Total Shares: 35,45,495 units
Mutual Funds: 1,77,275 units
Employees: 70,910 units
General Public: 29,42,760 units

ICRA Nepal Upgrades Bikash Hydropower’s Credit Rating

ICRA Nepal has recently upgraded the credit ratings of Bikash Hydropower Company Limited, reflecting the company’s improved financial stability and performance. The issuer rating has been raised from [ICRANP-IR] BB to [ICRANP-IR] BBB-, indicating a moderate degree of safety in meeting financial obligations. Similarly, the long-term rating has improved from [ICRANP] LBB to [ICRANP] LBBB-, and the short-term rating has been upgraded from [ICRANP] A4 to [ICRANP] A3. These upgrades highlight enhanced investor confidence in the company’s credit profile and its ability to manage financial commitments more effectively.

About Bikash Hydropower Company Limited (BHCL)

Bikash Hydropower Company Limited was established in February 2017 and converted into a public limited company in January 2022. It currently operates the 4.55 MW Upper Machha Khola Small Hydropower Project in Gorkha, Gandaki Province.