Nepal Micro Insurance Limited is initiating the distribution of 18,45,000 unit IPO shares at a nominal value of Rs. 100 beginning today, which is the 11th Falgun, 2081. The deadline for this offering is scheduled for 15th Falgun, 2081, with a potential extension until 25th Falgun, 2081, should it remain under-subscribed.
From the overall 22,50,000 units, 10% (2,25,000 units) have already been earmarked for Nepalese nationals working abroad, while 3% (67,500 units) are set aside for the employees of the company, and 5% (1,12,500 units) are allocated for mutual funds. The leftover 18,45,000 units, now available for distribution, are open to the general public.
NIMB Ace Capital Limited has been selected as the issue manager. Applications can be submitted for a minimum of 10 units and up to a maximum of 1,00,000 units.
CARE Ratings Nepal Limited (CRNL) has granted Nepal Micro Insurance Company Limited an issuer rating of ‘CARE-NP BB—(Is)’. This rating reflects a moderate risk of default in meeting financial responsibilities promptly within Nepal.
Nepal Micro Insurance Company Limited (NMIC) was founded on December 23, 2022. It operates as a Micro Non-Life Insurance Company, having received its license on April 10, 2023, under the Insurance Act 2079. NMIC commenced its business activities on May 14, 2023. The company is headquartered in Bharatpur-1, Chitwan, with a provincial office in Gairidhara, Kathmandu. As of July 16, 2024, NMIC offers a variety of micro non-life insurance products, including coverage for motor vehicles, property, theft, and accidents. By mid-July 2024, the company had a paid-up capital of Rs. 525 million and an asset base of Rs. 636 million.
