Him Star Urja Company Limited has officially launched its Initial Public Offering (IPO) for investors, commencing today, 24th Ashad, 2082. The firm is releasing a total of 7,73,975 unit shares at a nominal value of Rs. 100 per unit. The early deadline for the IPO is 27th Ashad, 2082, but if the shares are not fully subscribed by that date, the closing date will be extended until 6th Shrawan, 2082.
The issued capital of the firm amounts to Rs. 37.30 Crores. Of this total, 30%, namely 11,19,000 unit shares, are being offered to the public. From the overall public issue, 5%, equating to 1,86,500 unit shares valued at Rs. 1.86 Crores, has already been allocated to residents affected by the project in Okhaldhunga and Solukhumbu districts.
The remaining 25% of the issued capital, which is 9,32,500 unit shares, will now be made available to the broader public. Of these, 10%, totaling 93,250 unit shares, have been set aside for Nepalese nationals working overseas. From today, the residual 7,73,975 units are accessible to the general public.
NIC Asia Capital has been appointed as the issue manager for the IPO process. Investors can apply for a minimum of 10 units and a maximum of 10,000 units.
ICRA Nepal has upgraded the issuer rating of Him Star Urja Company Limited (HUCL) from B+ to BB-, indicating a moderate risk of default in fulfilling financial commitments. Furthermore, the company’s long-term rating has been elevated from LB+ to LBB-, while its short-term loan rating remains at A4. These ratings reflect ICRA Nepal’s assessment of HUCL’s overall creditworthiness, independent of any specific debt instrument.
Him Star Urja Company Limited, initially established as a private entity in August 2010 and later transformed into a public company in December 2017, is in the process of developing the 5MW Buku Kapati Khola hydropower project situated in the Okhaldhunga and Solukhumbu districts of Koshi Province. The initiative, conceived as a run-of-river (Ro-R) project with a Q40 design, was initially budgeted at NPR 1,023 million with a debt-to-equity ratio of 64:36. By mid-January 2025, roughly NPR 1,091 million has been expended, representing about 95% physical progress. The company’s paid-up capital is approximately NPR 261 million, with primary promoters including Mr. Dipak Tiwari (16.4%), Ms. Shobha Upreti (7.2%), and others.
