Neco Insurance declares 10% bonus shares; Paid up capital to reach Rs 1.17 arba

Neco Insurance Company Limited (NIL) has decided to distribute further 10 percent bonus shares to its shareholders for the fiscal year 2073/74. Recently, it has also proposed a further 50% right share. As per the notice published in Nepal Stock Exchange today, the BOD Meeting of the company held on Bhadra 4, 2074 has decided to issue bonus shares to their shareholders. However, the decision is subjected to approval from insurance board and its upcoming Annual General Meeting (AGM). Last year, NIL had issued 20% bonus share and 100% right shares to its shareholders. Neco Insurance had earned Rs 12.88 crore in the third quarter of the fiscal year 2073/74. After issuance of 20% bonus and 100% right share, its paid up capital has reached Rs 71.28 crore and after issuance of 10% bonus and 50% right share its capital will reach Rs 1.17 arba. As per the new guideline, non-life insurance companies should have a minimum paid up capital of Rs 1 arba by the end of FY 2074/75 and NIL will meet the requirement after issuance of bonus and right share.