(PPL)People's Power Limited Gets SEBON Nod for 50% Right Share Issuance

The Securities Board of Nepal (SEBON) has granted approval to People's Power Limited (PPL) for the issuance of 50% right shares. The company is set to issue 31,63,000 units of right shares at a ratio of 1:0.50, meaning shareholders will be entitled to one share for every two shares they currently hold.

The total worth of the proposed right shares stands at Rs. 31.63 Crores. Currently, PPL has a paid-up capital of Rs. 63.26 Crores, which will rise to Rs. 94.89 Crores following the allotment of the new shares. This capital increment is expected to enhance the company’s financial strength and support its future projects and expansion plans.

Prabhu Capital Limited has been appointed as the issue manager for the right share issuance. Shareholders registered before the book closure date (to be announced) will be eligible to apply for the rights offering.

This move aligns with the company's strategy to raise additional funds from existing investors rather than opting for external borrowing, thereby maintaining control and reducing interest burden.