Buddhabhumi Nepal Hydro Power Set to Launch Unsold Rights Share Auction at 100 Rupees Base Price

27th May 2026, Kathmandu

The Nepalese stock market is gearing up for a significant investment opportunity as Buddhabhumi Nepal Hydropower Company Limited officially announced the launch of its upcoming public auction for unallocated rights equity shares. This corporate decision follows the completion of the company’s previous 1:1 rights share issuance, where a specific portion of the offered units remained unsubscribed by existing stockholders. By shifting these unallocated assets into a sealed-bid auction format, the clean energy producer opens a highly lucrative gateway for retail investors, institutional funds, and market enthusiasts to acquire primary equity directly at a foundational price level.

Buddhabhumi Nepal Hydro Power

The upcoming public auction represents a strategic financial calibration managed entirely under the professional oversight of NIC Asia Capital Limited. Acting as the authorized issue and sales manager, the merchant banking entity will facilitate the collection, processing, and ultimate allocation of the shares, ensuring an entirely transparent bidding environment that strictly conforms to the capital market regulations enforced across Nepal.

A Breakdown of the Available Equity and Unsubscribed Share Volume

Buddhabhumi Nepal Hydropower Company Limited has officially made a total of 474,696 ordinary share units available for public acquisition through this sealed-bid mechanism. These 474,696 shares represent the remaining piece of the initial 4,000,000 unit rights offering that was opened to existing shareholders earlier this fiscal year. During that primary issuance phase, a large majority of the eligible investors capitalized on their rights to double the existing capital structure, but the remaining unsubscribed chunk is now being redirected to the open market.

For general investors who missed out on the initial book closure window, this auction provides a direct second chance to purchase a substantial volume of shares in a commercially operating energy project. Because the shares are ordinary equity units, they carry identical voting rights, dividend eligibility, and capital appreciation potential as the shares currently trading daily on the floor of the Nepal Stock Exchange.

Crucial Auction Timelines and Bidding Rules Explained

To participate successfully in this public bidding process, potential buyers must familiarize themselves with the specific structural timelines and bidding restrictions established by the organizers. The official auction window is scheduled to open on Jestha 21, 2083, and will accept incoming bids until the formal closing deadline on Jestha 29, 2083. All applications must be filled out using the prescribed sealed-bid documents and submitted within regular banking hours during this timeframe.

The company has laid down 3 fundamental ground rules to govern all incoming bids:

Minimum Bid Volume: The absolute minimum quantity an investor can apply for is fixed at 100 shares per application.

Maximum Bid Volume: Interested parties are legally permitted to place a bid for the entire available quantity of 474,696 shares if they possess the financial capacity.

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Minimum Floor Price: The absolute minimum bidding price is fixed at 100 Nepalese Rupees per individual share unit.

Applicants are free to bid any amount equal to or greater than the 100 Rupee floor price based on their own assessment of the current secondary market valuation of the company. Since this is a competitive bidding scenario, the shares will ultimately be awarded to the highest bidders until the entire lot of 474,696 shares is fully exhausted.

Official Submission Hubs and Form Collection Centres

To ensure a seamless administrative workflow and maximize nationwide accessibility, NIC Asia Capital Limited has set up a comprehensive network of collection and submission points across the country. Interested individuals can pick up the official auction application forms and deposit their finalized sealed bids directly at the central corporate headquarters of NIC Asia Capital Limited, located in Thapathali, Kathmandu.

Recognizing that a massive segment of the investing population resides outside the capital city, the organizers have also designated several major regional branches of NIC Asia Bank Limited to act as official collection hubs. Bidders can comfortably submit their paperwork at selected bank branches located in key economic centers, including Biratnagar, Birgunj, Pokhara, Butwal, Dhangadhi, Surkhet, Nuwakot, Chitwan, and Nepalgunj. This extensive geographical coverage eliminates regional barriers, allowing retail investors from all corners of Nepal to participate on an equal footing.

Market Context and Capital Structure Expansion

The execution of an unallocated rights share auction is a highly standard and healthy corporate practice within the capital market ecosystem of Nepal. It allows public companies like Buddhabhumi Nepal Hydropower to fully mobilize their intended capital-raising plans without leaving any equity stranded on the balance sheet. The funds raised from this 474,696 share auction will directly assist the company in fully realizing its structural capital goals, doubling its total paid-up capital from 400 million Rupees to 800 million Rupees.

Financially, the company operates the successful 4.993 Megawatt Lower Tadi Khola Hydropower Project located in the Nuwakot District, which has been generating commercial electricity and revenue since March 2022. The fresh infusion of equity capital obtained through this rights and auction process will significantly strengthen the corporate balance sheet, reduce reliance on high-interest bank loans, and improve overall net profitability margins for the coming fiscal years.

Conclusion: A Strategic Wealth-Building Opportunity for Smart Investors

The upcoming public share auction by Buddhabhumi Nepal Hydropower Company Limited marks a highly transparent, secure, and legally sound financial event for the national capital market. By offering 474,696 ordinary shares at a baseline price of 100 Rupees, the energy firm provides a rare entry point for smart investors to accumulate volume in a proven generating asset. With NIC Asia Capital Limited managing the backend mechanics and multiple collection branches active across Nepal from Jestha 21 onwards, this auction highlights the robust efficiency of modern capital mechanisms designed to connect growing corporate enterprises with ambitious public investors across the nation.

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