Arun Valley got permission to issue 5.2 million shares

Arun Valley, Kabeli B1 Cascade

Kathmandu. 

Arun Valley Hydro Power Development Company has got permission to issue right shares to raise investment in the 10 MW Kabeli B-1 Cascade Hydropower Project under construction. The company has got permission to issue right shares to the shareholders to raise equity investment in the hydropower project under construction in Pachthar.

The company has stated that it has received approval from the Nepal Securities Board to issue 1:05 (50 percent) of the paid-up capital to the shareholders. According to the company, 52.41 million shares equal to Rs. 524.11 million will be issued and distributed.

Muktinath Capital has been appointed as the sales manager to distribute the shares. The company's project under construction in Pachthar is 60 percent complete. The company has stated that it aims to generate electricity from the project under construction from 2078 BS.

The project is estimated to cost Rs 2 billion. Of this, Rs 1.40 billion is loan investment from Bank of Kathmandu and Kumari Bank. The remaining Rs 600 million is equity investment. After the completion of this project, 132 KV Kabeli corridor will be connected to Amarpur substation of transmission line.