IPO of Union Life Insurance Closes With Record Breaking Number of Applicants

Union Life Insurance Company Limited has successfully closed the issue of 64,50,000 units of ordinary shares as IPO worth Rs. 64.5 crores to the general public today. The issue opened on Ashad 24, 2078. This issue closed today at the early closing date, i.e. on Ashad-28, 2077 since it was already oversubscribed on the first day itself.

Out of offered 64,50,000 units; 5% of the issued capital i.e., 3,22,500 units have been allotted for the employees of the company and another 5% for the mutual funds. The remaining 58,05,000 units are for the general public.

Applications can be placed for a minimum of 10 units and a maximum of 32,250 units. Prabhu Capital Limited has been appointed as the issue manager for the IPO issuance. According to CDSC, 21,50,478 applicants have applied for a total of 3,40,10,890 units. This is the data as of 5: 08 pm today. Thus, the issue is oversubscribed 5.85 times in terms of the number of units. Furthermore, the issue has received the highest number of applicants for a single IPO issue in Nepal's capital market history. 

The paid-up capital will reach Rs. 2.15 Arba after the issuance of the public shares. After the IPO issue; public holding will be 30% and promoters holding will be 70%.