Nepal Micro Insurance Company IPO | For Foreign Nepalese Immigrants

Nepal Micro Insurance Company Limited is set to issue its first phase of Initial Public Offering (IPO) for Nepalese citizens working abroad opening from Magh 8, 2081 to Magh 22, 2081.

*Note: IPO offering will close on the specified date and will not be extended. This offering provides individuals with a unique investment opportunity while contributing to the company’s growth.

Nepal Micro Insurance Company has allocated 30% of its issued capital i.e. 2,250,000 ordinary shares amounting to 225,000,000 (Rs. 22.50 crores) with a face value of Rs. 100 each for the IPO. The Issued Capital of the Company is Rs. 75 Crores.

Key Details of the IPO:

Out of the 30% (2,250,000 shares), the allocation is divided as follows:

3% (67,500 shares): Reserved for employees working in the company.
5% (112,500 shares): Reserved for mutual funds.
10% (225,000 shares): Reserved for Nepali citizens residing abroad, who have received labor approval from the relevant government body.

The remaining 1,845,000 shares will be issued to the general public in Nepal, under the Securities Registration and Issuance Regulations, 2073, and the Securities Issuance and Allotment Guidelines, 2074.

Application Details:

Issue Manager: NIMB Ace Capital.
Minimum Application: 10 shares.
Maximum Application: 1,00,000 shares.

Credit Rating:

The company has received a credit rating of ‘CARE-NP BB-(Is)’ from CARE Ratings Nepal Limited, indicating a moderate risk of default in fulfilling financial obligations. The rating is valid from Bhadra 6, 2081 to Bhadra 6, 2082, reflecting the company’s financial standing and reliability.

Details of the Companies Net Worth

Details	Actual FY 2079/80	Unaudited FY 2080/81	Projected FY 2081/82	Projected FY 2082/83	Projected FY 2083/84
Net Worth Per Share (Rs.)	100.80	101.36	101.90	103.33	105.43
Earnings Per Share (Rs.)	0.80	0.56	0.95	1.43	2.11
Retained Earnings (Rs. in thousands)	1,799	3,088	6,209	10,929	17,876

Utilization of Capital Raised from IPO Issuance:

The money raised from selling ordinary shares will help the company improve its financial strength, meet legal requirements, and increase its ability to expand. The funds will be used for business growth, investment in infrastructure, and support for important national projects, following guidelines from the Nepal Insurance Authority. This will help the company grow steadily and ensure long-term stability.

S.N.	Details of Utilization of Amount Received from Issuance	Amount (Rs.)
1	Fixed Deposits issued by Banks and Financial Institutions	12,50,00,000/-
2	Bonds and Debentures issued by Banks and Financial Institutions	6,00,00,000/-
3	Citizen Investment Fund and Mutual Funds	2,50,00,000/-
4	Branch Expansion and Physical Infrastructure Development	1,50,00,000/-
Total		22,50,00,000/-

Notice of Nepal Micro Insurance Company IPO For Foreign Nepalese Immigrants