IPO Issue of Guardian Micro Life Insurance Closing Today; Oversubscribed 10.83 Times So Far

Guardian Micro Life Insurance Limited is closing the issue of 18,45,000 units IPO shares at a par value of Rs—100 from today i.e. on the 24th of Poush. The issue opened on 21st Poush, 2080 for the general public.

Out of the total 22,50,000 units; 10% i.e. 2,25,000 units have already been issued to Nepalese citizens working abroad, whereas 3% i.e. 67,500 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 1,12,500 units have been set aside for the mutual funds. The remaining 18,45,000 units are for the general public.

Kumari Capital Limited is appointed as the issue manager. Applications can be placed for a minimum of 10 units and a maximum of 1,000 units.

According to CDSC, 14,92,769 applicants have applied for a total of 19,991,890 units worth Rs. 1.99 Arba. Thus, the issue has already been oversubscribed by 10.83 times so far.

CARE Ratings Nepal Limited (CRNL) has assigned an issuer rating of ‘CARE-NP BB- (Is)’ to Guardian Micro Life Insurance Limited (GMLIL). This rating indicates a moderate risk of default concerning the timely servicing of financial obligations in Nepal.

Guardian Micro Life Insurance Limited, established on December 26, 2022, began operations as a Micro Life Insurance Company on July 7, 2023, following its license approval on April 10, 2023, under the Insurance Act 2079. Headquartered in Biratnagar Municipality, Morang, Nepal, GMLIL offers diverse micro-life insurance products through an extensive sales network, including term plans, endowment plans, and group plans. As of mid-July 2024, the company reported a paid-up capital of Rs. 525 million and total assets amounting to Rs. 562 million.