Bids Opened for City Hotel Limited’s Auctioned Promoter, Employee, and Ordinary Shares; What Are the Cut-Off Rates?
Author
NEPSE TRADING
City Hotel Limited (CITY) opened the bids for its auction of unsold promoter, employee, and ordinary right shares on 5th Mangsir, 2082. Prabhu Capital Limited, acting as the auction manager, conducted the bid-opening session at its Kamaladi office in Kathmandu, starting at 9:00 AM.
The auction was open from 23rd Kartik to 30th Kartik 2082, concluding at the end of banking hours. A total of 19,80,999 units of promoter lock-in right shares, 6,000 units of employee lock-in shares (both locked until Jestha 04, 2083) and 1,54,419 units of ordinary shares held by public shareholders were made available for bidding. All interested individuals, institutions, and companies were eligible to participate in the auction process.
These auctioned shares represent the unclaimed portion of the company’s 1:0.80 rights offering issued earlier from 23rd Bhadra to 26th Ashwin, 2082.
The minimum bid price for the auction was set at Rs. 100. While bidders had to place bids for a minimum of 100 units, there was no upper limit. Participants could bid for the full quantity on offer; however, regulatory limits on maximum shareholding per entity were to be strictly adhered to.
According to Prabhu Capital, the tentative cut-off rates determined during the bid opening are as follows:
Promoter Lock-in Shares: Rs. 276
Employee Lock-in Shares: Rs. 312.50
Ordinary Public Right Shares: Rs. 467
These rates are subject to revision after final checks, reconciliation, and verification of all submitted bids.
