Bids Received in Auction of NICL Promoter Shares Opened; What is the Cut-Off Rate?

The bids received in the auction of Nepal Insurance Company Limited (NICL) have been opened today i.e Bhadra 23. Bids were opened at the premises of the auction manager, Global IME Capital in Naxal, Kathmandu.

The company had auctioned 21,57,615 unit promoter shares to the general public from 8th Bhadra. The auction concluded on 22nd Bhadra.

The general public, companies, and institutions were all eligible to bid in the auction. Rs. 325 was the minimum bid rate for the auction. While the minimum bid quantity was 100 units, there was no upper limit. Although bidders could bid for the entirety of the issue, they are required to abide by Nepal Rastra Bank's rule to not exceed the specified quantity of shares per entity.

According to the auction manager, the tentative cut-off rate stood at Rs. 325 while the maximum bid rate is Rs. 350. Once all of the checks get reconciled and cleared, the cut-off price may vary. All units are not sold, the remaining shares might be re-auctioned.