Asian Life Insurance Closing Issue of 1:0.42 Right Share on Shrawan 20
August 5, 2025 | Investopaper
Asian Life Insurance Limited is currently selling the right shares to the shareholders. The company is floating the right shares in the ratio 1:0.42. This means that the shareholders with 100 shares can apply for the additional 42 shares.
The right issue is open from Ashad 25, 2082 BS. If fully subscribed, the right offering was set to close on Shrawan 13, 2082 BS. However, due to under-subscription until that period, the deadline for application has now extended until Shrawan 20, 2082 BS.
As of Jestha’s end 2082 BS, Asian Life Insurance has a paid up capital of Rs. 339.98 crores. Hence, the company has plans to sell 1,42,79,312 right shares worth Rs. 142.79 crores. After the right issue, the paid-up capital will reach Rs. 482.77 crores.
For this purpose, the company has announced the book closure date on Jestha 16, 2082 BS. Therefore, the investors holding/purchasing the shares of ALICL until Jestha 14, 2082 BS will be eligible to subscribe the right shares.
Securities Board of Nepal (SEBON) gave permission to the company on Baisakh 26, 2082 BS regarding the right issue. The life insurance company had submitted an application to the Board on Jestha 23, 2081 BS. Only after the approval from the regulatory body SEBON, the company can sell shares to the public.
The company has appointed Muktinath Capital Limited as issue and sales manager. An agreement between the company and Muktinath Capital has been inked on this regard. The agreement was signed by Dinesh Lal Shrestha, CEO of Asian Life Insurance and Kavindradhwaj Joshi, Chief Executive Officer of Muktinath Capital.
As per the direction of Nepal Insurance Authority, the regulatory body, the life insurance companies are required to meet the minimum capital of Rs. 500 crores. Hence, Asian Life Insurance has opted for the right issue in order to reach the capital requirement.
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