Ridge Line Energy has launched its Initial Public Offering (IPO). From Sunday, applications are open for residents of project-affected areas and Nepalis working abroad.

For the local residents, the company has allocated Rs 118.5 million worth of 11,85,000 ordinary shares at a face value of Rs 100 each. Eligible applicants include residents of Ajikot Rural Municipality in Gorkha and wards 1, 2, 3 of Dudhpokhari Rural Municipality and wards 4, 5, 6 of Dorddi Rural Municipality in Lamjung. Local applicants can apply for 10,000 to 50,000 shares until January 12. If the IPO remains unsubscribed, the window will extend to January 26.

For Nepalis working abroad, Rs 14.2 million worth of 1,42,200 shares are reserved. Overseas applicants can apply until January 1.

The IPO is part of Ridge Line Energy’s approved capital of Rs 1.185 billion, with 22 percent of the capital (Rs 26.07 million worth of 26,700 shares) being offered initially. After completing the local and overseas allotment, the company will offer shares to the general public in the second phase.

The company operates a 9.05 MW Super Chepe Hydropower Project, constructed at a total cost of Rs 209.6 million, which has been connected to the national transmission line since January 2024.

CARE Ratings Nepal has given the IPO a “CARE NP BB Issuer Rating,” indicating a moderate risk in terms of the company’s ability to meet its obligations. Prabhu Capital is managing the IPO issuance and sale.