ICRA Nepal has assigned “[ICRANP] IPO Grade 5”, indicating poor fundamentals to the proposed initial public offering (IPO) of Shuvam Power Limited (SPL). Grade 1 indicating strong fundamentals and Grade 5 indicating poor fundamentals.
The company is proposing 580,580 units shares at the face value of Rs.100. The IPO size includes 400,000-unit public shares & 180,580-unit shares unsubscribed by locals.
As per recent change in rules by SEBON, it has no possibility of getting approval from SEBON for IPO issuance for public. To get approval Rating must be more than minimum Grade 5.
