Opportunity to Invest: Pure Energy IPO to Open from Chaitra 28

Pure Energy Limited is set to offer 11,95,200 units of its Initial Public Offering (IPO) shares to the general public starting from Chaitra 28, 2081. The shares, priced at a par value of Rs. 100 each, will be available for subscription until Baisakh 2, 2082, with a possible extension up to Baisakh 11, 2082, if undersubscribed.

This IPO constitutes 18% of the company's total issued capital of Rs. 80 Crore. Prior to this public offering, Pure Energy allocated 2% (1,60,000 units) of its shares to project-affected locals in the Banke District. Additionally, 10% of the public issue (1,44,000 units) has been earmarked for Nepalese citizens working abroad.

Out of the total 14,40,000 shares allocated for the public, 72,000 units (5%) are reserved for mutual funds, and 28,800 units (2%) are set aside for the company's employees. The remaining 11,95,200 units will be available for the general public.

Nabil Investment Banking Limited has been appointed as the issue manager for this IPO. Interested investors can apply for a minimum of 10 units and a maximum of 1,00,000 units.  

CARE Ratings Nepal Limited (CRNL) has assigned an issuer rating of ‘CARE-NP BB+ (Is)’ to Pure Energy Limited, indicating a moderate risk of default regarding the timely servicing of financial obligations. CRNL has also revised the rating for the company's long-term bank facilities to ‘CARE-NP BB+’ from ‘CARE-NP BB’.

Established in June 2018, Pure Energy Limited is backed by promoters associated with the Golyan Group and REnergo Developers Pvt Ltd. The company is focused on operating a 20 MW grid-connected solar photovoltaic project in Banke district, Nepal. Both of the company's solar projects are currently operational.