Prime Life Insurance proposes 32.50% bonus share; upcoming 160% right shareholders also to get bonus

Prime Life Insurance Company Limited (PLIC) has proposed to issue 32.50% bonus share to its shareholders from the profits it earned in FY 2073/74. The life insurance company will also be issuing around 1.706% cash dividend for tax purpose. As per the notice published by the company in NEPSE today, the 106^th BOD meeting of the company held yesterday (Magh 24, 2074) has proposed the above dividends on the company’s current paid-up capital of Rs 61.02 crore. However, the above dividends will be issued after allotment of its upcoming 1:1.60 ratio right share. After adjusting for the 160% right share, the shareholders (including right share allottees) will get 12.50% bonus share. PLIC has earned net profit of Rs 11.51 crore in the second quarter of FY 2074/75, registering an EPS of Rs 37.76. The paid up capital of PLIC will reach Rs 178.50 crore after the adjustment of both bonus and right shares. Its last traded price stood at Rs 1,660 as of yesterday and had surged to Rs 1,710 today after the dividend announcement.