PRIN Clarifies it's Right Share Issuance Subject to NIA Approval

Prabhu Insurance Company Limited (PRIN) has clarified that it's issuance of right shares is subject to approval from the concerned regulatory body.

In a press release issued by PRIN today, it stated that in line with the amendments made by the Nepal Insurance Authority (NIA) in the existing laws, and as specified to raise the paid-up capital of insurance companies to Rs. 2.50 Arba by the end of Ashad, 2080, the company is intensely discussing the prospect of merger or acquisition. However, as of now despite continued efforts, no preliminary agreement has been penned with another non-life company.

Following the upset, the 226th meeting of the Board of directors of the company held on Ashad, 27, 2080, has decided to present a proposal to Nepal Insurance Authority (NIA), for the issuance of right shares which would amount to the insufficient amount in the current paid up capital to meet the set bar, as an alternative.

The company also informed the proposal has been submitted and is subject to approval of NIA and all due processes will only be conducted henceforth the potential approval.

Currently, the paid-up capital of PRIN is Rs. 1,376,122,300.