Nepal | September 29, 2020

SEBON directs hydel companies to disclose financial details before issuing IPO

Himalayan News Service
Share Now:

Kathmandu, January 1

Securities Board of Nepal (SEBON) has directed hydropower companies to publish a public notice disclosing their net worth and per share income before issuing initial public offering (IPO).

Issuing a guideline for hydropower companies that are planning to issue shares to public, SEBON has directed the companies to publish their net worth according to their latest audit report.

SEBON has also directed such companies to disclose some relevant information like per megawatt production cost, assumption of time to complete the project and the payback period. Similarly, the grade provided by the credit rating agency should also be published in the notice.

“SEBON hopes that the public issuing process will be more transparent and organised after this guideline. Such disclosures will also protect the rights of investors and they would have the basic information of the company in which they are investing,” NirajGiri, spokesperson for SEBON, informed.

Hydropower firms listed in the secondary market would also have to submit their annual financial report to the SEBON. As per SEBON, earlier hydropower operators were not obliged to submit their annual report to the capital market regulator.

“Investors have registered their grievances at SEBON about lack of proper information in noticespublished by hydropower firms while issuing public offering. So, we have directed them to disclose basic information for the benefit of the investors,” Giri stated.

Hydropower companies should inform investors if they have received low grade from credit rating agency. Likewise, if the per share net worth of the firm is less than face value, that information should also be made public through the notice.

As per data maintained by SEBON, 15 hydropower companies are in pipeline to issue IPO and four others have been granted final approval from the regulator to issue the IPO.


A version of this article appears in print on January 02, 2018 of The Himalayan Times.


Follow The Himalayan Times on Twitter and Facebook

Recommended Stories:

More from The Himalayan Times:

Nepal COVID-19 Update: 1351 new cases, 742 recoveries, four fatalities recorded on Monday

KATHMANDU: Nepal’s Health Ministry, in its regular press briefing, shared the latest updates on coronavirus contagion from across the country, and government’s response to the health crisis. READ ALSO: Kathmandu Valley records 817 infections on Monday As of today, 998,407 tests throug Read More...

K-pop’s BLACKPINK drop teaser for title track ‘Lovesick Girls’ from debut album

KATHMANDU: K-pop’s most popular girl band BLACKPINK on September 28 announced Lovesick Girls, the title track of their debut full-length LP The Album. According to The Korea Times, the group's label YG Entertainment dropped a teaser poster on social media, announcing the title track, Lovesi Read More...

President issues three ordinances

KATHMANDU: President Bidya Devi Bhandari has issued three ordinances, including one related to prevention and control of acid and other harmful chemicals. The President issued these ordinances in accordance with Article 114 (1) of the Constitution of Nepal and on the recommendation of the Council Read More...

Nepal, Oman to sign labour agreement soon

KATHMANDU: Nepal's Ambassador to Oman, Sharmila Parajuli Dhakal paid a courtesy call on Labour Minister of Oman Dr Mahad bin Saeed bin Ali Baouin at latter’s office. Ambassador Dhakal congratulated Dr Mahad for his appointment to the post of Labour Minister of Oman. On the occasion, both o Read More...

Global K-pop sensation BTS to drop new album ‘BE’ on November 20

KATHMANDU: K-pop supergroup BTS have announced their new album titled BE, which they will be releasing on November 20. The group’s label Big Hit Entertainment took to the group's online fan community BTS Weverse on September 28 to make the announcement, reports The Korea Herald. Without el Read More...

Armenia and Azerbaijan step up fighting in fiercest clashes since 1990s

Each side says the other firing heavy artillery Worries resurface about South Caucasus stability Azerbaijan says six of its civilians killed Nagorno-Karabakh said 15 more of its soldiers killed YEREVAN/BAKU: Fighting between Armenia and Azerbaijan escalated sharply on Monday in a Read More...

Diogo Jota

Liverpool maintain 100% start with win over Arsenal

LIVERPOOL: Premier League champions Liverpool maintained their 100% start to the season with a 3-1 win against Arsenal at Anfield on Monday leaving them level on nine points with pacesetters Everton and Leicester City. The visitors took the lead through an Alexandre Lacazette strike but L Read More...

Fulham, Aston Villa, Ivan Cavaleiro, Matty Cash

Villa beat Fulham 3-0 to move into top four

LONDON: Aston Villa moved into the Premier League top four after they strolled to a 3-0 win at Fulham thanks to goals from Jack Grealish, Conor Hourihane and Tyrone Mings in a lopsided contest on Monday. The result left Villa, who narrowly avoided relegation last season, fourth on a maximu Read More...