Last day to bid for 8,350 units auctioned shares of Siddhartha Insurance at Rs 100 & above from today; LTP at Rs 1638

Siddhartha insurance Company Limited (SIL) is closing its auction for 8,350 units unsold right shares to the general public today (Shrawan 23, 2074). The company is selling 7,983 units ordinary share and 367 units promoter share after the rights shares issued on Baisakh 28, 2074 were not fully subscribed by the investors. The bank had floated a total of 8,62,125 units right shares in the ratio 5.2:1 and around 0.96% right shares were left unclaimed. The bid will open to conclude the auction on Shrawan 25, 2074 at 3 PM. Bidders must quote a minimum price of Rs 100 per unit, which means that the lowest bid amount must be more than Rs 100.Interested bidders must bid for a minimum of 100 units of shares. NMB Capital Limited is the issue manager for this auction. The insurance company has urged interested bidders to submit their bids within office hours till Shrawan 23 at the NMB Capital located at Naxal, Kathmandu. The investors applying for the auction can deposit the bid amount in the account name NMB Capital Limited and account number 0010010005401000003 of NMB Bank Limited. Bidders can also apply through a Good for Payment Cheque made in the name of NMB Capital. Siddhartha Insurance has earned net profit of Rs 14 crore in the 3rd quarter of the fiscal year 2073/74.  After the issuance of right shares, its paid up capital has reached Rs 53.45 crore. As per Insurance Board’s directive for all non-life insurance companies to hike their capital to a minimum of Rs 1 arba by Ashad 2075, SIL will need to increase its capital by further Rs 46.55 crore (around 88%). Its last traded price stood at Rs 1638 as on August 6, 2017.