IPO sale of Madhya Bhotekoshi postponed

KATHMANDU: The IPO sale issued by Madhya Bhotekoshi Hydropower Project to the locals of Sindhupalchowk and those affected by the project has been postponed. 

Madhya Bhotekoshi Hydropower Project and Sales Manager Global IME Capital have issued a joint statement announcing the postponing of the sale of shares. It is said that the issue of shares has been postponed until the situation improves with effect from 6th May, taking into account the COVID transmission and the letter issued from the local level. After the situation eases, another notice will be issued and the IPO will be continued, as stated in the release.

The project had issued the IPO in defiance of the prohibitory order issued by the local administration in various districts including Kathmandu Valley to control the transmission of coronavirus. 

The project had disobeyed the request of the project-affected Barhabise Municipality not to issue IPO immediately on 3rd May. 

The Madhya Madhya Bhotekoshi had issued 30% i.e. 1.8 million shares to the project-affected and the remaining 4.2 million shares to the residents of Sindhupalchowk district at the rate of Rs. 100 per share.

The project affected areas are Bhotekoshi Village Municipality-1 and 5 (formerly Listi and Marming VDC), Barhabise Municipality-5 and 6 (formerly Ghumthank and Maneshwara VDC).