The Board of Directors of API Power Business Limited (API) determined that the company would issue right shares in a ratio of 1:0.40, or 16533137 right shares with a par value of Rs. 100.
The board of directors resolved to disburse the dividend on the company’s paid-up capital at its meeting on Poush 21. It had been proposed to provide 7.5% bonus shares on the existing paid-up capital of Rs. 3.84 Arba, bringing the total paid-up capital to Rs. 4.13 Arba. Thus, after the rights offering at a ratio of 1:0.40 (or 40%), the company’s paid-up capital will be revised to Rs. 5.78 Arba.
To pay off the debt of the projects it is now producing, the business has proposed issuing right shares. However, the right shares will only be released with the agreement of the regulatory body, the Electricity Regulatory Commission, as well as the Securities Board of Nepal (SEBON).