Opening Range of Himalayan Reinsurance Limited

Himalayan Re is the inaugural private sector reinsurance company founded in Nepal. It is dedicated to providing reinsurance assistance to both Life and General Insurance Companies, both within Nepal and internationally. The company is supported by promoters like Nepal Bank Ltd and Rastriya Banijya Bank Ltd.

Ownership:
Promoters’ share of the Paid-up Capital is 70% – that is, NPR 7 Billion 
Public share is 30% – that is, NPR 3 Billion

Issue Details: Out of the total of  3,00,00,000 units, 10%, which is 30,00,000 units, were issued from the 4th to the 18th of Mangsir. These shares were allocated to Nepalese citizens working abroad on the 24th of Mangsir. Additionally, 2%, or 600,000 units, have been reserved for the company's employees, and 5% of the total offered shares, equivalent to 15,00,000 units, have been set aside for mutual funds. The remaining 2,49,00,000 units are available for the general public.

The shares will be offered at Rs. 206 per share (comprising a Rs. 100 face value and a Rs. 106 premium price) for the general public.

Opening range of Himalayan Reinsurance Company: The book value of the company depends upon the book value of the audited financial statement. As per the FY 2078/79, the book value of the company is Rs, 103.07. Hence, the opening range of the company will be Rs. 103.07 to Rs. 309.21.

Ratings: ICRA Nepal has upheld the issuer rating of [ICRANP-IR] A- (pronounced ICRA NP Issuer Rating A Minus) for Himalayan Reinsurance Limited. This rating reflects a satisfactory level of assurance regarding the punctual fulfilment of financial obligations. Issuers with such ratings are associated with a low credit risk.

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