Joint Transaction of Siddhartha Premier Insurance Limited Started from Today; What is the Enhanced Paid-Up Capital of the Company?

The final procedure for a merger between Siddhartha Insurance Limited (SIL) and Premier Insurance Company (Nepal) Limited (PIC) has been completed and the companies have also started the joint business from today, Falgun 17 i.e March 01, 2023.

The company had signed a merger deal at a swap ratio of 1:1. As per merger agreement, "Siddhartha Premier Insurance Limited" has been agreed upon as the name of the new non-life insurance company that has been formed as a result of the merger. The companies signed the Memorandum of Understanding (MoU) on 27th Ashad, 2079.

The paid-up capital of SIL at the present is Rs. 1,403,920,000. Meanwhile, the paid-up capital of PIC is Rs. 1,402,629,900. The total paid-up capital of the newly merged company will be Rs. 2.8 Arba. Also, Siddhartha Premier Insurance Limited will be led by Birendra Baidawar Chhetry as Chief Executive Officer. 

SIL and PIC also declared dividends of 9.4737% and 15% respectively for the Fiscal Year 2078/79. On the other hand, SIL till the second quarter of FY 2078/79 had Rs 28.14 Crores as Reserves, Rs 1.25 Arba as Insurance Funds, and Rs 10.19 Crores as contingent funds.

In the same way, PIC has Rs. 30.08 Crores as Reserves, Rs. 1.09 Arba as Insurance Fund, and Rs 6.81 Crores as a contingent fund.