IPO allotment of Reliance Life Insurance concludes; lucky 5,67,000 investors get 10 units each and remaining 20,509 applicants return empty hands

Fri, Aug 28, 2020 2:12 PM on IPO/FPO News, IPO/FPO Result News, Latest,

The IPO allotment of Reliance Life Insurance Limited is concluded today at the premises of Sanima Capital Limited. 

Reliance Life Insurance Limited had issued 63,00,000 units worth Rs 63 crore as Initial Public Offering to the general public from (Bhadra 4-8, 2077). 

Out of the offered 63,00,000 units; 5% of the total offered shares to the general public i.e. 3,15,000 units have been set aside for the employees of the company and 5% of the total offered shares to the general public i.e. 3,15,000 units have been set aside for the mutual funds. The remaining 56,70,000 units are for the general public.

The issue had received applications from 5,89,464 applicants who had applied for a total of 2,29,26,010 units. The issue was oversubscribed by more than 4.04 times. Out of 5,89,464; valid applicants were 5,87,509.

As per the allotment module, a total of 5,67,000 applicants were allotted 10 units each via lottery, and the remaining 20,509 applicants were returned empty hands. 

A total of 3,15,000 units were allotted to the 224 staff of the company and 3,15,00 units allotted to 19 mutual funds.

In total 1,955 applicants who applied for 71,590 units were disqualified.

The IPO result can be accessed by sharesansar.com- IPO result page soon.

The CEO of Reliance Life Insurance, Pravin Raman Parajuli also addressed the investors during the allotment process. He said that Reliance Life Insurance Company has always put its customers in its top priority.

Furthermore, Parajuli expressed his gratitude to the investors for trusting the company and applying for the IPO issue despite the challenges. Reliance Life Insurance's IPO issue received the highest volume of applications in the history of NEPSE despite opening during the lockdown amidst the COVID-19 pandemic.

Allotment Module:

After the issuance of 63,00,000 units worth Rs, 63 crore IPO shares the general public i.e 30% of total capital which will together raise its paid-up capital to Rs 2.10 arba and the promoter/public ratio will be 70:30. 

ICRA Nepal has assigned a grading of [ICRANP] IPO Grade 4, indicating below-average fundamentals, to the proposed initial public offering (IPO) of NPR 630 million of Reliance Life Insurance Limited (RLIL).