Right Issue Alert: Barun Hydro Power Company Opens Application!
Are you a shareholder of Barun Hydro Power Company? This is your chance to potentially increase your investment! The company has announced a right issue, and the deadline to apply is fast approaching – Shrawan 19th! Don’t miss out on this opportunity to participate in the company’s capital expansion.
What is a Right Issue?
For those unfamiliar, a right issue is a way for a company to raise capital by offering new shares to its existing shareholders. In this case, Barun Hydro Power Company is offering a 1:1 ratio – meaning for every one share you currently hold, you can apply for one new share.
Key Details for Investors
- Application Deadline: Shrawan 19th
- Offer: The company is issuing 5,358,150 shares with a face value of Rs. 100 each, totaling Rs. 535.81 million.
- Book Close Date: The company closed its books on Jestha 22nd to determine eligible shareholders.
- Eligibility: Shareholders who were registered and traded on NEPSE until Jestha 21st are eligible to apply.
How to Apply for the Right Issue
The application process is designed to be convenient. You can apply through several channels:
- Issuance and Sales Manager: RBB Merchant Banking Limited is managing the issue.
- Branches: Visit branches of Rastriya Banijya Bank located in Birgunj, Janakpur, Narayangadh, Baglung, Butwal, Nepalgunj, Birendranagar, Dhangadhi, Birtamod, Hetauda, Tulsipur, Mahendranagar, Chainpur, Khandbari, and Dharan.
- C-ASBA: Utilize the C-ASBA service through participating banks and financial institutions that are licensed by the Securities Board of Nepal (SEBON).
- Mero Share: Apply online using the ‘Mero Share’ software developed by CDS and Clearing Limited.
Important Considerations
Credit Ratings: The right issue has been rated by CARE Ratings Nepal, who assigned the company a CARE NP BB- Issuer Rating. This rating indicates a high level of risk in meeting financial obligations on time. Investors should consider this rating before making a decision.
Impact on Capital
Currently, Barun Hydro Power Company’s paid-up capital is Rs. 535.81 million. Following the successful completion of the right issue, the paid-up capital will increase to Rs. 1.071 billion. This capital infusion is expected to help the company in its ongoing and future projects and improve its overall financial performance.
**Stock market Investment is always subject to risks. Be sure to do your due diligence, understand the company’s fundamentals, and assess your risk tolerance before investing. Explore market analysis reports and understand the stock market trends. Read the prospectus carefully before making any investment decisions.
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