Last day to apply for 100% & 30% right shares of Lumbini General Insurance & Kanchan Development Bank; LTP at Rs 1010 & Rs 262 respectively

Lumbini General Insurance Limited (LGIL) is closing 1:1 (100%) right shares to its existing shareholders today (Bhadra 1, 2074). The right issue was open for 35 days from Ashad 30, 2074. The bank is issuing a total of 39,00,000 unit right shares worth Rs 39 crore at the face value of Rs 100. The book closure date for 100% right issue was set on Asadh 13, 2074. Only the shares registered one trading day ahead of the book closure date i.e. Asadh 11, 2074 are eligible for applying for the right shares. CBIL Capital Limited has been assigned as the issue manager for the right issue. Interested shareholders can collect the application forms from CBIL Capital, Dillibazar, Kathmandu, Ace Capital Markets Limited, Laldurbar, Kathmandu as well as from designated branch offices of Citizens Bank Limited. After the adjustment of the rights shares, LGIL’s total paid-up capital will reach to Rs 78 crore from current Rs 39 crore. Its authorized capital stands at Rs 1 arba. To meet the capital requirement as directed by the Insurance Board of Nepal, LGIL should hike its capital by Rs 22 crore (around 28.20%). Lumbini General Insurance has earned net profit of Rs 19.09 crore in the fourth quarter of the FY 2073/74. Its LTP stands at Rs 1010 as of August 16, 2017. Likewise, Kanchan Development Bank Limited (KADBL) is also closing 10:3 (30%) right shares today (Bhadra 1, 2074). The rights issues was remain open for 35 days from Ashad 30, 2074 Global IME Capital Limited is the issue manager for the right issue. KADBL is issuing a total of 1,039,500 units right shares worth Rs 10.39 crore, each to be floated to its existing shareholders at par value of Rs 100 per share. The book closure date for the 30% right issue was set on Ashad 1, 2074. Only those shareholders having shares one day ahead of the book closure date i.e. till Jestha 31, 2074 are eligible to apply for the right shares. KADBL current paid up capital remains at Rs 34.65 crore. After the issuance of 30% right, its paid up capital will reach Rs 45.04 crore. It has a authorized capital of Rs 60 crore. Its promoter-public ratio stand at 51:49. As per NRB’s directive for all 1-3 district level development banks to increase their paid up capital to a minimum of Rs 50 crore by the end of FY 2073/74, KADBL will need to issue a further capital hike of around 11%. It has earned net profit of Rs 73.48 million in the fourth quarter of the FY 2073/74. Its LTP stands at Rs 262 as of August 16, 2017.