Alliance Insurance to float 55% right shares from July 3; book closure on June 22

ShareSansar, June 13:

Allaince Insurance Company Limited will float its much-awaited 10:55 ratio right shares from July 3.

The company’s Annual General Meeting for the fiscal year 2068/69 had endorsed the right shares.

The right issue will last till August 5.

Alliance is distributing 55 percent right shares to meet the paid-up capital target of Rs 25 crore by the end of the current fiscal year, according to the company officials.

It may be noted that Allaince has also announced the book closure for the right issue from  June 22.

But only those shareholders who already hold the shares of the company till June 20 will be entitled to the right shares as June 21 is a Saturday.

The last AGM of the company held on April 18 had also endorse 13.16 percent  dividend (12.5 percent bonus shares and 0.66 percent more to adjust the taxes) to the shareholders from the net profit it posted in the last fiscal year 2069/70.

According to them the right shares will be given as per Rs 16.23 crore paid-up capital of the company, and the paid-up will rise to Rs 27.18 after adjusting both bonus and right shares.

Alliance had posted a net profit of Rs.7.63 crore in the last fiscal year 2069/70.

The dividend being proposed by Alliance for the last fiscal year is higher than it has offered for the previous fiscal year, which stood at 10 percent bonus share.