The IPO allotment of Chandragiri Hills Limited is concluded today at the premises of the issue manager – Global IME Capital Limited.
Chandragiri Hills Limited has issued 15,34,091 units worth Rs 15.34 crore as Initial Public Offering to the general public from (Poush 24- Poush 28, 2077).
Out of the offered 15,34,091 units; 4% of the total offered shares to the general public i.e. 61,364 units have been set aside for the employees of the company and 5% of the total offered shares to the general public i.e. 76,705 units have been set aside for the mutual funds. The remaining 13,96,022 units are for the general public.
The issue had received applications from 12,11,115 valid applicants who had applied for a total of 2,28,20,210 units. The issue was oversubscribed by more than 16.34 times.
As per the allotment module, a total of 1,39,602 applicants were allotted 10 units each via lottery, and the remaining 10,71,513 applicants were returned empty hands.
A total of 61,364 units were allotted to the staff of the company and 76,705 units allotted to mutual funds.
In total 5,838 applicants who applied for 94,170 units were disqualified.
Check IPO Result : Global IME Capital IPO Check : Chandragiri Hills
In the program, Ambika Prasad Poudel, one of the director of the company, was jubilant to thank the investors and announce a 25% discount on cable car fares for all investors who applied for the IPO. However, he was stopped mid-speech by a reporter who raised a query about the dividend-paying capacity of the company.
Addressing the query, Poudel stated that the current revenue production of the company can hardly sustain the operating cost itself, an impact created by the pandemic and restriction on travel and tourism. Although the company had projected to distribute a 10% dividend in the first fiscal year after enlistment in NEPSE and 20% after that, Ambika Prasad Poudel stated that the company might now have to revise its projection.
Chandragiri Hills is seven kilometres from Thankot and lies on the south-west side of Kathmandu Valley which is 2551 metres above sea level. The hill provides panoramic views of Kathmandu Valley and the Himalayan ranges from Annapurna to Everest. The soft opening of Chandragiri Hills Ltd was held on 8th August 2016. Over the years, Chandragiri hills has been seen as one of the most sought after gateway for the people of Kathmandu Valley and around. It has also been felicitated with the most influential tourist spot of the country.
The major promoters of the company are Mr. Chandra Prasad Dhakal, Mr. Hem Raj Dhakal, Mr. Ambika Prasad Paudel, Mr. Nawaraj Nepal and Mr. Kalyan Gurung.