KATHMANDU, May 22: Nepal Insurance has received approval to issue rights shares. The Securities Board of Nepal (SEBON) granted the company permission to issue the rights shares on Wednesday.
Nepal Insurance is set to issue rights shares equivalent to 40 percent of its paid-up capital. The company's current paid-up capital stands at Rs 1.89 billion.
Two companies granted permission to issue ordinary shares
The insurer plans to sell 6,576,937.76 units of rights shares at a face value of Rs 100 per share, amounting to a total of Rs 657.69 million.
NIMB Ace Capital has been appointed as the issue and sales manager for the rights offering.
Nepal Insurance is issuing these rights shares to meet the minimum paid-up capital requirement of Rs 2.5 billion set by the Insurance Board of Nepal for non-life insurance companies.
