Madhya Bhotekoshi Jalavidhyut Company Analysis
Madhya Bhotekoshi Jalavidhyut Company Limited (MBJCL) is a public limited company incorporated on July 29, 2010. The company is promoted by Nepal Electricity Authority (NEA) (A GoN Corporation) and Chilime Hydropower Company Limited (CHCL, 51% subsidiary of NEA) for setting up 102 MW run-of-river, Middle Bhotekoshi Hydroelectric Project in the Shindhupalchowk district of Nepal. The project is constructed under BOOT (Build, Own, Operate, and Transfer) mechanism. As per the Generation License, from GoN- Ministry of Energy, dated December 03, 2013, the project shall be handed, on whatever conditions the project is, to the Government of Nepal after the expiry of the generation License, which is 35 years.
Madhya Bhotekoshi Jalavidyut Company Limited has opened the IPO issue for 90,00,000 unit shares worth Rs 90 crore from Ashwin 20 and the IPO issue closes on Ashwin 25.
IPO Details
| Result Date | Ashoj 20 |
|---|---|
| Total No of Shares | 90,00,000 Units |
| For Employee | 3,60,000 Units |
| For Mutual Fund | 4,50,000 Units |
| For General Public | 81,90,000 Units |
| No of Applicants | 2,393,428 |
| No of the applied units | 34,360,010 Units |
| Status | Oversubscribed by 4.19 times |
| Sector | Hydropower |
| Issue Manager | Global IME Capital Ltd. |
| Rating | CARE-NP IPO Grade 4+ |
Board of Directors
| Name | Position |
|---|---|
| Mr. Hara Raj Neupane | Director |
| Mr. Lekhnath Koirala | Director |
| Mr. Dhurva Bhattarai | Director |
| Mr. Tulsi Ram Dhakal | Director |
| Mr. Subhash Kumar Mishra | Director |
| Mr. Shree Ram Raj Paudel | Director |
| Mr. Naresh Lal Shrestha | Director |
Capital Structure
| Authorized Capital | 6,210,000,000 |
| Issued Capital | 6,000,000,000 |
| Current Paid-Up Capital | 4,500,000,000 |
| Capital after IPO Issuance | 6,000,000,000 |
Shareholding Pattern
Promoters Shareholders
| Promoters Shareholders | Number of Shares | Amount | Percentage | Remarks |
|---|---|---|---|---|
| Nepal Electricity Authority | 6,000,000 | 600,000,000 | 10% | Already Issued |
| Chilime Hydropower Company Limited | 22,200,000 | 2,220,000,000 | 37% | Already Issued |
| Sindhupalchowk Hydropower Company Limited | 600,000 | 60,000,000 | 1% | Already Issued |
| Nepal Araniko Hydropower Company Limited | 600,000 | 60,000,000 | 1% | Already Issued |
| Sindhu Investment Company Limited | 600,000 | 60,000,000 | 1% | Already Issued |
| Sindhu Bhotekoshi Hydropower Limited | 600,000 | 60,000,000 | 1% | Already Issued |
General Public (Inc. Employees)
| General Public | Number of Shares | Amount | Percentage | Remarks |
|---|---|---|---|---|
| Employee Provident Fund | 11,700,000 | 1,170,000,000 | 19.50% | Already Issued |
| Promoters Organization’s Employee | 2,100,000 | 210,000,000 | 3.50% | Already Issued |
| Real Creditor’s Employee (Financial Institutions) | 600,000 | 60,000,000 | 1% | Already Issued |
| Project Affected Locals | 6,000,000 | 600,000,000 | 10% | Already Issued |
| General Public | 9,000,000 | 900,000,000 | 15% | To be Issued |
Project Information
| Name of Project | Madhya Bhotekoshi Jalavidhyut Aayojana |
| Installed Capacity | 102 MW |
| General License Signed | 8/18/2070 |
| General License Valid up to | 8/17/2105 |
| PPA signed with NEA | 14 NOV, 2011 |
| Annual Energy Generation | 542.2 GWh |
| Annual Dry Energy | 83.7 GWh |
| Annual Wet Energy | 458.5 GWh |
| Total Cost (Inc. Interest) | Rs.16,973,218,000 |
| Cost per Mega-watt (Inc. Interest) | Rs.16,640,4101 |
Uses of funds
| S. N | Particulars | Amount |
|---|---|---|
| 1 | Civil and Hydro mechanical works | 1,000,000,000 |
| 2 | Electromechanical works | 300,000,000 |
| 3 | Developmental works of transmission line | 100,000,000 |
| 4 | Other Costs | 50,000,000 |
| 5 | Project Operating costs | 50,000,000 |
| Total | 1,500,000,000 |
Financial Highlights
Actual
| Particulars (‘000) | 2073/2074 | 2074/2075 | 2075/2076 | 2076/2077 | 2077/2078* |
|---|---|---|---|---|---|
| Total Paid-Up Capital | 2,870,500.00 | 3,060,000.00 | 4,500,000.00 | 4,500,000.00 | 4,500,000.00 |
| Reserve & Surplus | -111,897.00 | -127,853.00 | -197,495.00 | -252,527.00 | -275,963.00 |
| Debt | 1,980,020.00 | 3,347,905.00 | 3,895,307.00 | 5,009,648.00 | 4,256,158.00 |
| Revenue from sale of Electricity | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Net Profit | -21,023.00 | -15,956.00 | -51,058.00 | -55,031.00 | -23,436.00 |
| Earnings per share (Rs.) | -0.73 | -0.52 | -1.13 | -1.22 | -0.52 |
| Net worth per share (Rs.) | 96.10 | 95.82 | 95.61 | 94.39 | 93.87 |
| Debt-Equity (times) | 0.72 | 1.14 | 0.91 | 1.18 | 1.01 |
| Return on Equity (%) | -0.76% | -0.54% | -1.19% | -1.30% | -0.55% |
Estimated
| Particulars (‘000) | 2077/2078 | 2078/2079 | 2079/2080 |
| Total Paid-Up Capital | 6,000,000.00 | 6,000,000.00 | 6,000,000.00 |
| Reserve & Surplus | 47,293.00 | 951,687.00 | 2,233,098.00 |
| Debt | 10,150,289.00 | 8,787,730.00 | 7,425,170.00 |
| Revenue from sale of Electricity | N/A | N/A | N/A |
| Net Profit | 299,820.00 | 904,394.00 | 1,281,411.00 |
| Earnings per share (Rs.) | 5.00 | 15.07 | 21.36 |
| Net worth per share (Rs.) | 100.79 | 115.86 | 137.22 |
| Debt-Equity (times) | 1.68 | 1.26 | 0.90 |
| Return on Equity (%) | 4.96% | 13.01% | 15.56% |
Also Read : Madhya Bhotekoshi IPO Result
