Prudential Insurance’s AGM today to endorse 8% bonus share; 20% right issue

ShareSansar, May 30:

Prudential Insurance Company Limited is holding its 12th Annual General Meeting today.

The annual event being held at Hotel Vishwa in Birgunj is scheduled to endorse 8 percent bonus shares and cash dividend to cover the tax on bonus shares to the shareholders from the net profit the company posted in the last fiscal year 2069/70.

The AGM will also ratify another special proposal to distribute another 20 percent right shares after calculating the bonus shares, according to the company.

It may be noted that the company’s paid-up capital will rise to Rs 27 crore after the distribution of bonus shares.

The AGM will further endorse a plan proposed by the company management to shore up the authorized capital to Rs 50 crore and paid-up capital to Rs 32 crore, and also appoint an auditor to conduct MoU and DDA for merger with other insurance company.

It will also approve of the appointment of directors from Class B promoters.

The AGM will also approve of Rs 5 lakh to be distributed to the flood victims of the Far-western region of the country.

By the end of the third quarter of the current fiscal year, Prudential Insurance has reported 8.22 percent increase in its net profit.

In its unaudited Q3 financial report, the insurance company has stated increase in the net profit to Rs 3.03 crore as compared to Rs 2.8 crore of corresponding quarter.

The company’s rise in operational profit fueled the net profit which reached to Rs 3.85 crore up from Rs 3.23 crore in this quarter as compared to corresponding quarter.

Likewise, there is increase in the insurance fund from Rs 5.67 crore to Rs 7.88 crore whereas the reserve and surplus decreased to Rs 5.74 crore from Rs 5.87 crore as compared to corresponding quarter of the last fiscal year 2069/70.

The company’s EPS is Rs 12.13; net worth per share is Rs. 154.54 and the P/E ratio 32.72.