Kalinchok Darshan Limited is set to issue IPO after receiving approval from the Securities Board of Nepal (SEBON). The cable car company will offer 60 lakh shares worth 12 crores in the investment offer. The company has selected Nabil Investment Banking Limited for its IPO issuance.
Kalinchok Darshan is the same company that is operating cable cars in Kuri valley, Dolakha helping visitors to reach the popular Kalinchok Bhagwati temple.
Ashok Siwakoti, CEO of Kalinchok Darshan, and Manish Narayan Joshi, CEO of Nabil Investment Banking recently signed the agreement papers.
Kalinchok Darshan to build a hotel
The company plans to invest a portion of the money generated from the IPO to build a 35-room star hotel which will cost an estimated Rs 25 crore. The remaining investment will be drawn from other investors. In recent years, the company has registered positive financial reports although it witnessed fewer visitors in the first half of FY 078/79. During the period, the company welcomed 50,000 tourists which helped accumulate 2.10 crore in revenue.
The company expects brighter finances in the coming days with the ongoing tarmac project around the Kuri valley.
The company’s cable car serves 192 passengers per hour. Internal tourists are the main source of its economy.
Kalinchok Darshan has one institutional and 85 individual founders/investors whereas Balkrishna Siwakoti is the current presiding chairperson.
The company is calling for an IPO investment which equals 20% of its total paid-up capital.