Darmakhola Hydropower to Launch IPO for General Public from July 30

Darmakhola Hydropower Limited is set to open its Initial Public Offering (IPO) to the general public from July 30 (Shrawan 15), following successful allotments to locals and migrant workers in earlier phases. The company will issue 2,423,185 units of ordinary shares at a face value of NPR 100 per unit, amounting to NPR 242.3 million in total.

This offering is part of the company’s total approved capital issuance of 38.33% of its NPR 1.03 billion paid-up capital. Earlier, the company had already distributed shares to local residents of the project-affected areas (1,030,500 units), Nepalis working abroad (291,950 units), company employees (58,390 units), and mutual funds (145,975 units).

Investors can apply for a minimum of 10 shares and up to a maximum of 50,000 shares. The earliest closing date for the issue is August 3 (Shrawan 19), while the final closing date is August 13 (Shrawan 29), 2025.

The offering has been rated [IRN] BB- (Double B Minus) by Infomerics Credit Rating Nepal, suggesting moderate credit risk and an average capacity to meet financial obligations on time.

Darmakhola Hydropower is developing a 9.6 MW run-of-river project with an estimated total cost of NPR 2.38 billion, implying a cost of NPR 247.9 million per MW. The project’s electricity generation license remains valid for the next 28 years. The equity payback period is projected at 9.83 years, while the discounted payback period is 17.90 years.

Laxmi Sunrise Capital Limited is managing the issue. Applications can be submitted through all C-ASBA member banks and financial institutions approved by the Securities Board of Nepal (SEBON).