Dolakha locals still have time to apply.
Kalinchowk Hydropower Limited has extended its IPO deadline for project-affected locals of Dolakha District to Chaitra 12, 2082, which falls on March 26, 2026. The extension was confirmed on March 11, with 5,50,000 units still available under the local quota at Rs 100 par value.
Why the Extension?
Local quota IPOs regularly see low uptake in their initial window. Awareness gaps, logistical challenges in remote districts, and the ongoing election season likely kept early applications thin. On March 10, KHL also added newly eligible affected areas to the locals’ quota, which created the need for extra time to allow those residents to participate.
Eligible applicants fall under specific wards in Bigu Municipality-8 and Kalinchowk Rural Municipality-1 and 2 of Dolakha District. Minimum application is 10 units at Rs 1,000, maximum is 10,000 units. Applications go through ASBA-enabled banks. RBB Merchant Banking Limited is managing the issue.
Project Background
Kalinchowk Hydropower Limited is developing the 5 MW Sangu Khola run-of-river hydroelectric project in Dolakha under a BOOT model. The company was incorporated in May 2016 and converted to a public limited company in June 2022. A generation license was issued by ERC, and a Power Purchase Agreement with NEA is in place. Once operational, the project is expected to generate 29.72 GWh of energy annually, giving it stable long-term revenue fundamentals.
CARE Ratings Nepal has rated the company CARE-NP BB, indicating moderate default risk. Strengths include the secured PPA and project location, though typical hydropower vulnerabilities around construction timelines and monsoon dependency apply.
What Investors Should Do Next
Eligible Dolakha locals should apply before Chaitra 12 via any ASBA-enabled bank. Check the full list of eligible wards on CDSC or Merolagani before applying to confirm eligibility.
Once the locals’ window closes on March 26, the remaining 8,25,000 units for the general public are expected to open, likely in Chaitra or early Baisakh 2083. If NEPSE’s post-election hydropower sentiment holds, the general public phase could see strong oversubscription similar to Shikhar Power’s record-breaking IPO last week. Track the official opening notice on Meroshare and Merolagani.
No major red flags on fundamentals, but monitor project progress updates since small hydro projects typically take two to four years from funding to commercial operations.
Also Read: NEPSE Drops 32 Points After Monday’s Election Rally | Turnover Hits 7-Month High.
