Nepal Insurance Gets SEBON Approval to Issue 40% Right Shares

Kathmandu – Nepal Insurance Company has received approval from the Securities and Exchange Board of Nepal (SEBON) to issue 40 percent right shares of its current paid-up capital.

The company is now set to issue 6,576,937.76 units of right shares at a face value of Rs 100 per share, amounting to a total of Rs 657.69 million. The offer will be available to existing shareholders.

The move is aimed at meeting the capital requirement set by the Nepal Insurance Authority, which mandates a minimum paid-up capital of Rs 2.5 billion for non-life insurance companies. Nepal Insurance currently has a paid-up capital of Rs 1.89 billion. Upon completion of the right share issuance, the company’s capital will increase to Rs 2.54 billion, surpassing the regulatory requirement.

NIMB Ace Capital Limited has been appointed as the issue manager for the right share offering.