Today, January 1, is the final day for submitting applications for the rights shares issued by Balefi Hydropower Limited (BHL), which opened on December 13. The company is offering a 100% rights issue on its existing paid-up capital, meaning shareholders can apply for 1 new share for every 1 existing share they hold.

BHL has issued a total of 18,279,700 rights shares at a price of Rs 100 per share, amounting to a total value of Rs 1.82 billion. The company had announced the book closure date for the rights issue on November 7, and shareholders who were holding shares until November 6 are eligible to apply for the rights shares.

In a rating conducted for the rights issue, Infometrics Credit Rating Nepal has assigned BHL an "IRN Double B Issuer Rating," indicating a medium risk in the company's ability to meet its financial obligations on time.

The issue manager for the rights shares is NMB Capital Limited. Investors can submit their applications through NMB Capital, Kumari Bank's Jalbire and Jugal branch offices, or by using the 'Mero Share' online platform through the CDS & Clearing Limited system. Additionally, investors can apply through participating banks and financial institutions, which are authorized by the Securities Board of Nepal (SEBON).

As of now, the company's paid-up capital stands at Rs 1.82 billion. After the rights issue, the paid-up capital will increase to Rs 3.65 billion.

The proceeds from the rights issue will be used to partially repay a bank loan of Rs 1.4 billion, clear a promoter loan of Rs 306.4 million, and pay contractors and suppliers totaling Rs 121.5 million for the ongoing hydropower project construction.