Bids Received in Auction of Nepal Life Insurance and NIC Asia Bank Shares Opened; What is the Cut-Off Rate?

Global IME Capital has opened the bids received in the auction of 5,96,921 units of Nepal Life Insurance Company Limited (NLIC) and 7,17,950 unit promoter shares of NIC Asia Bank Limited (NICA) today, i.e. Shrawan 23. Bids were opened today at the premises of the Global IME Capital, Naxal, Kathmandu, starting at 10 am.

The auction opened on 5th Shrawan and concluded on 19th Shrawan, 2079 at the end of banking hours. 5,96,921 units of Nepal Life Insurance Company Limited (NLIC) and 7,17,950 unit promoter shares of NIC Asia Bank Limited (NICA) were auctioned. Individuals, institutions, and companies were all eligible to bid for the auction.

Rs. 700 was the minimum bid rate for the auction of promoter shares of NLIC whereas the minimum bid rate for NICA's auction was Rs. 425. While the minimum bid quantity was 1000 units for the auction of both the shares, there was no upper limit. However, bidders were required to abide by Nepal Rastra Bank and Beema Samiti's rule to not exceed the specified quantity of shares per entity.

According to the auction manager, the cut-off rate for NICA shares was maintained at Rs. 425. Only 3000 units were sold out of total 7,17,950 units whereas no bids were received for the promoter shares of NLIC.