Upper Hewakhola Hydropower Company Limited Granted Prior Approval for NPR 525 Million Rights Issue

25th August 2026, Kathmandu

The Electricity Regulatory Commission has granted prior approval to Upper Hewakhola Hydropower Company Limited to issue rights shares worth NPR 525 million.

Upper Hewakhola Rights Issue

Existing Paid Up Capital: The company currently has a paid up capital of NPR 575 million and promotes the 8.5 MW Upper Hewakhola Small Hydropower Project in Sankhuwasabha.

Revision of Rights Share Proposal: The company originally proposed a 1 to 1 rights issue worth NPR 575 million. After reviewing the investment plan, the Electricity Regulatory Commission approved a reduced rights issue of NPR 525 million, equivalent to 5.25 million shares.

Allocation and Utilization of Proceeds

Investment in Sisuwakhola Hydropower Project: NPR 460 million raised from the rights issue will be invested in the Sisuwakhola Hydropower Project through share purchase in Matribhoomi Hydropower Development Company Private Limited.

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Debt Reduction: The remaining NPR 65 million will be used to pay off existing loans taken from banks and financial institutions for the Upper Hewakhola project.

Shareholding Status: Upper Hewakhola Hydropower already holds a 60.6 percent stake in Matribhoomi Hydropower Development Company worth NPR 50 million.

Regulatory Decision and Next Steps

Board Approval Date: The decision was made during the 316th board meeting of the Electricity Regulatory Commission held on August 18, 2026 (Bhadra 2, 2083 BS).

Regulatory Compliance: The approval follows the Directive on Prior Approval and Regulation of Public Issuance of Shares by Electricity Related Companies 2078 BS. The company can now proceed with the rights share issuance process subject to fulfilling prescribed conditions.

For More: Upper Hewakhola Rights Issue