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<p style="text-align: justify;">The existing shareholders can purchase per unit of right share at Rs 100. In the period, investors group such as Hathway Investment and IME have entered the company. The group at present owns 50 percent of the total investment in the company along with the investment in the right shares. The new directors have planned of rebranding the company to erase the notoriety caused by earlier promoters.</p>
<p style="text-align: justify;"> The company had 2 percent market share before the IB blocked its transaction. The company had re-started its business from 2015. As of mid-March 2016, net worth per share is Rs 72 and total asset per share is Rs 203. The profit of the company has increased by 136 percent to Rs 21.1 million.</p>
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<p style="text-align: justify;">The existing shareholders can purchase per unit of right share at Rs 100. In the period, investors group such as Hathway Investment and IME have entered the company. The group at present owns 50 percent of the total investment in the company along with the investment in the right shares. The new directors have planned of rebranding the company to erase the notoriety caused by earlier promoters.</p>
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June 6: NB insurance is issuing 10:8 right shares to its existing shareholders. The company is issuing the right shares in order to reach the minimum paid-up capital requirement of Rs 250 million as directed by Insurance Board. The company has already taken advance payment from its promoters for right shares issuance. The move has reflected in the financial report till mid-March of the current FY that shows Rs 244.9 million paid-up capital.
Currently, transaction of the company is blocked in the secondary market. The company was transacted for the last time on 2014 January 1 at the price of Rs 80. Earlier, both the company and its share transaction were blocked due to the action taken against the NB Group, former promoters of the company. However, the company has notified all its existing shareholders to D-mat their shareholders to resume transaction in secondary market citing improvement in the company. “Preparations are going on for correspondence with Nepal Stock Exchange (NEPSE), Securities Board of Nepal (SEBON) and Insurance Board (IB) in a bid to resume share transactions,” says Ambika Prasad Poudel, Director of the company.
The existing shareholders can purchase per unit of right share at Rs 100. In the period, investors group such as Hathway Investment and IME have entered the company. The group at present owns 50 percent of the total investment in the company along with the investment in the right shares. The new directors have planned of rebranding the company to erase the notoriety caused by earlier promoters.
The company had 2 percent market share before the IB blocked its transaction. The company had re-started its business from 2015. As of mid-March 2016, net worth per share is Rs 72 and total asset per share is Rs 203. The profit of the company has increased by 136 percent to Rs 21.1 million.
ICRA Nepal has provided Grade 4 rating for the issuance that indicates below average fundamentals of the company. ICRA has mentioned that there is a low possibility for equity holders receiving dividend payments in 4-5 years although the proposed equity injection will strengthen the capital base.
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