IPO Update: Union Life Insurance Gets SEBON's Approval to Issue 64.5 Lakh Shares

SEBON has approved Union Life Insurance Company Limited's proposal to issue an IPO for 64,50,000 units.

The insurance had submitted an application to the regulatory board on Jestha 09. The board then gave the approval on Ashar 13. Prabhu Capital has been appointed the issue manager for the IPO issue.

Union Life Insurance Company Limited is a public limited life insurance company, operating since July 2017. Its head office is in New Baneswor, Kathmandu. The company has an equity investment of multiple business houses in Nepal such as Jagadamba group, Golchha Organization, Gadiya group, Neupane group, Rajesh Hardware group & Tibrewala Group. ICRA Nepal has assigned the issuer rating of [ICRANP-IR] BBB (pronounced ICRA NP Issuer Rating triple B) to the company. Issuers with this rating are considered to have a moderate degree of safety regarding timely servicing of financial obligations.

The company has 2,150,000,000 registered shares of which 6,450,000 units will be issued to the public via an IPO. This is 30% of the company's capital.

The insurance company has posted a net profit of Rs 82.50 million and published its 3rd quarter company analysis of the fiscal year 2077/78.