Public Issue of Himalayan Reinsurance Limited Oversubscribed by 1.29 Times till Last Day

Himalayan Reinsurance Limited has closed the issue of its 2,49,00,000 unit IPO shares on 2nd Poush, 2080. The issue was opened on 27th Mangsir, 2080.

Out of the total 3,00,00,000 units; 10% i.e. 30,00,000 units of shares have been allotted to Nepalese Citizens working abroad on 24th Mangsir, whereas 2% i.e. 6,00,000 units have been set aside for the employees of the company and 5% of the total offered shares i.e. 15,00,000 units have been aside for the mutual funds. The remaining 2,49,00,000 units were for the general public.

The shares were issued for Rs. 206 per share (Rs 100 face value + Rs 106 premium price) for the general public.

NMB Capital Limited is the issue manager. According to the issue manager, 16,61,247 applicants have applied for a total of 3,22,36,170 units. This is the data after the issue closed yesterday. Thus, the issue is oversubscribed by 1.29 times.

ICRA Nepal has reaffirmed an issuer rating of [ICRANP-IR] A- (pronounced ICRA NP Issuer Rating A Minus) to Himalayan Reinsurance Limited, indicating an adequate degree of safety regarding the timely servicing of financial obligations. Such issuers carry low credit risk.

Himalayan Re-insurance Limited is the second reinsurance company to issue an IPO in Nepal. Himalayan Reinsurance, a pioneering private-sector reinsurance company in Nepal, specializes in offering reinsurance support to both Life and Non-Life Insurance Companies in Nepal and internationally. The company was granted its operational license in 2021.

The prominent promoters of Himalayan Reinsurance consist of leading business conglomerates in Nepal and significant financial institutions. Some of the noteworthy promoters include Golchha Group, Shanker Group, Infinity Holdings, Lucky Group, Ramesh Corp, Shiv Shakti Group, Himalayan Infrastructure Fund Ltd., Shalimar Investment, Saffron CK Investments, Vaishnav Enterprises, Murarka Group, K L Dugar Group, M V Dugar Group, R H Group, M S Corp, IME Group, Prem Gurung and Group, Ashlesha Enterprises, Allied Continental, and Balaji Marbles.