Upper Hewakhola Hydropower’s 91.3% Rights Shares Enter SEBON Pipeline

Upper Hewakhola Hydropower Company Limited (UHEWA) has moved a step forward in its rights share issuance process after the Securities Board of Nepal (SEBON) included its application in the preliminary review pipeline. The company submitted its application to the regulatory board on Ashwin 15, 2083, seeking approval to issue rights shares to its existing shareholders. According to the proposed plan, the company intends to issue rights shares at a ratio of 1:0.913, equivalent to 91.3% of its existing shareholding. Under this arrangement, eligible shareholders would be entitled to apply for 0.913 additional shares for every share they currently hold, subject to the final terms and regulatory approval. The proposed issuance consists of 5,250,000 rights shares with a total value of Rs. 52.50 crore. The company's existing paid-up capital stands at Rs. 57.50 crore. If approved and fully subscribed, the rights issue would provide additional capital to the hydropower company while giving existing shareholders the opportunity to increase their shareholdings in proportion to the announced ratio. However, the issuance remains subject to SEBON's review and approval, and the company has not yet completed the regulatory process. Reliable Investment and Merchant Capital Limited has been appointed as the issue manager for the proposed rights offering. The issue manager will oversee the relevant procedures associated with the issuance in accordance with applicable regulatory requirements. The inclusion of UHEWA's application in SEBON's preliminary review pipeline marks an early stage in the approval process. Investors should note that the proposed rights shares are not yet approved for issuance, and further details regarding the offering will depend on regulatory decisions and subsequent announcements from the company. Once the necessary approvals are obtained, existing shareholders will be able to review the final issuance terms and determine their eligibility and participation options based on the official notice.