KATHMANDU: After banks and financial institutions, hydropower companies are also preparing to merge.
Accordingly, the Electricity Regulatory Commission, which regulates hydropower companies, has given approval to merge two hydropower companies.
Hydropower companies with the same investor had sought permission from the commission to merge with each other.
Meanwhile, a merger agreement has been signed between Ridi Hydropower Development Company and Rairang Hydropower Development Company.
After the merger of these companies, the total joint paid up capital will be Rs. 1.14 billion.
The companies will have to follow the standards, codes and guidelines issued by the commission from time to time regarding good corporate governance.
In case of merger of the companies, other prevailing acts, rules or directives and the management letter and rules of the company should be followed.
The commission is also encouraging other companies with similar investments to merge.
Comment