Bikash Hydropower Company Limited (BHCL) has issued a public notice regarding the upcoming expiry of the lock-in period on a portion of its shares allocated to mutual funds during its public offering.
Key Details of the Lock-in Expiry:
- Number of Shares: 177,275 ordinary shares
- Lock-in Expiry Date: 28th Poush, 2082 (approximately mid-January 2026 in the Gregorian calendar)
- Status Post-Expiry: These shares will become free to trade on and from this date.
Background and Context:
During its initial share issuance, BHCL had a total issued capital of Rs. 90.91 crores, divided into 3,545,500 units. As per regulatory requirements for public offerings, a 5% allotment (177,275 shares) of the total issued shares was reserved for mutual funds. These shares were subject to a mandatory six-month lock-in period, a standard measure aimed at promoting market stability post-listing.
Implications for the Market:
The release of these shares from the lock-in period means mutual fund companies that were allotted these shares will have the discretion to hold or sell them in the secondary market starting Poush 28. This could potentially increase the free float and trading liquidity of BHCL shares on the Nepal Stock Exchange (NEPSE).
The company has issued this notice to ensure transparency and to keep all investors and stakeholders informed about this routine yet significant corporate action. Shareholders and traders are advised to take note of this development as it may influence market activity for BHCL stock around the specified date.