Ghalemdi Hydro To Issue 200% Right Shares; Proposal Approved By SEBON

Ghalemdi Hydro Limited (GHL) has unveiled an ambitious plan to issue 200% right shares worth Rs. 1.10 Arba. This translates to the issuance of 11,000,000 (1:2) units of right shares to its existing shareholders. The primary purpose of this rights offering is to raise funds for GHL's investment in the Chujung Khola hydropower project, which boasts a substantial capacity of 63 M.W. PRoR. This project is located in the Sankhuwasabha district and is promoted by Shangrila Urja Pvt. Ltd.

The decision to issue 200% right shares underscores GHL's commitment to securing a minimum 51% ownership stake in the Chujung Khola project. Such ownership is vital for GHL to play a significant role in Nepal's renewable energy sector and contribute to the nation's growing energy needs.

The company's current paid-up capital stands at Rs. 55 Crores. Upon the successful adjustment of the proposed right shares, involving the issuance of 1.10 crore units, GHL's paid-up capital will experience a substantial boost, surging to Rs. 1.65 Arba.

This strategic move has received regulatory approval from the Securities Board of Nepal (SEBON), which gave its green light to GHL's rights offering proposal on Ashwin 18, 2080. Muktinath Capital is appointed as the issue manager.

In summary, Ghalemdi Hydro Limited's plan to issue 200% right shares worth Rs. 1.10 Arba has been granted approval by SEBON, marking a pivotal step in the company's pursuit of greater participation in Nepal's renewable energy landscape. This move not only bolsters GHL's financial standing but also contributes to the nation's sustainable energy future.