Maya Khola Hydropower Initiates Rights Share Issuance Process, Appoints Citizens Capital as Manager

Kathmandu. Maya Khola Hydropower Limited has moved forward with the process of issuing rights shares to increase its capital. The company has appointed Citizens Capital Limited as the issue and sales manager for the issuance of 10 million units of rights shares. 

A formal agreement regarding this was signed between the two companies during a special ceremony held on Sunday. Dinesh Prasad Shrestha, Executive Chairman of Maya Khola Hydropower, and Sabir Bade Shrestha, Chief Executive Officer of Citizens Capital, signed the agreement letter. 

According to the agreement, Citizens Capital will now complete all procedures to obtain approval from the Securities Board of Nepal (SEBON) for the issuance of Maya Khola's rights shares. Upon receiving approval from the Board, Citizens Capital will also handle the responsibility of managing the share sale.

This company has been commercially generating electricity from the 14.9 MW Maya Khola Hydropower Project, located in Sankhuwasabha district, since Ashar 2080 BS.

The generated electricity is being sold to the Nepal Electricity Authority. Established as a private company in B.S. 2067, this project was converted into a public limited company in 2073 BS.

The company previously issued an Initial Public Offering (IPO) to the general public in Magh 2079 BS. Now listed in the secondary market, the company has opted for the rights share route to raise additional capital for the project's financial strengthening or other strategic plans. This rights share will only be open to investors after receiving approval from the Securities Board.