IME Life Insurance Company IPO Allotment Concludes: Lucky 9,60,000 Applicants Gets 10 Units Each
Sat, Jul 15, 2023 12:03 PM on IPO/FPO News, Latest,
The IPO allotment of IME Life Insurance Company Limited is concluded today at the premises of Civil Capital Limited, Sundhara, Kathmandu.
IME Life Insurance Company Limited had issued 96,00,000 units as Initial Public Offering (IPO) to the general public (Ashad 21-25, 2079).
The issued capital of the life insurance company is Rs. 4 Arba of which 30% i.e. 1,20,00,000 unit shares are for the public (Nepalese citizens working abroad and the general public). Out of this total issue, 10% i.e. 12,00,000 unit shares were issued to the Nepalese citizens working abroad, whereas 5% i.e 600,000 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 600,000 units have been set aside for the mutual funds. The remaining 96,00,000 units are for the general public.
The shares are issued for Rs. 236.91 per share (Rs 100 face value + Rs 136.91 premium price) to the general public and for the employees of the company at a par value of Rs. 100.
The issue had received applications from 11,88,996 valid applicants who had applied for a total of 14,372,570 units. The issue was oversubscribed by more than 1.5 times.
As per the allotment module, a total of 9,60,000 applicants were allotted 10 units each via lottery and the remaining 2,28,996 applicants were returned with empty hands.
A total of 600,000 units were allotted to the mutual funds and 600,000 units were allotted to the employees of the company.
In total 6,936 applicants who applied for 1,32,820 units were disqualified.
Allotment Module:
The IPO result can be accessed by CDSC IPO Result, MeroShare, and Civil Capital Limited.
The IPO issue will raise a total of Rs. 2.76 Arba for the company. Out of this Rs 1.56 Arba will be the premium amount and the rest would add to the paid-up capital. The current paid-up capital of the company is Rs. 2.80 Arba.
CARE Ratings Nepal Limited (CRNL) has reaffirmed the rating of ‘CARE-NP BBB (Is)’ assigned to IME Life Insurance Company Limited. Issuers with this rating are considered to have a moderate degree of safety regarding timely servicing of financial obligations, in Nepal.
IME Life Insurance Company Limited is a life insurance company registered at Office of Company Registrar under the Company Act 2006 on October 1, 2008, and obtained a license from Insurance Board on July 4, 2017. The company had an asset base of Rs. 5,281 Million as on July 15, 2021. The capital structure of the company comprises an authorized capital of Rs. 2 Billion out of which Rs. 1.40 Billion is paid-up capital from the promoter groups.
