Union Life Insurance IPO Result Published - How to Check

Result 15 Jul 2021 19969 0

Union Life Insurance Company Limited published the IPO Result (Allotment). According to sales manager Prabhu Capital, the 5 lakh 80 thousand 500 applicants got shares when the company is distributed at the rate of a minimum of 10 units.

According to sales manager Prabhu Capital, a total of 2.182 million applications have been received from applicants. Out of them, 69 thousand 976 applications have been rejected due to duplicate applications and various reasons while 21 lakh 12 thousand 799 eligible applications have been received.

As more applications were received than the Issued, the shares of the company were distributed as per the issuance and distribution guidelines. Accordingly, 5 lakh 80 thousand 500 applicants got shares when the company is distributed at the rate of a minimum of 10 units. The remaining 1.532 million units, or about 73 percent, would not get shares.

The company had issued 6.45 million units shares equal to Rs 645 million, which is 30 percent of the total issued capital of Rs 2.15 billion. Of that, 5 percent or 322,500 units of shares were secured for employees and another 5 percent for collective investment funds, and the remaining 5.8 million shares were sold to the public.

How to Check Union Life Insurance Company Limited IPO Allotment (Result):

You have to follow the following instruction to fast check the IPO result of Union Life Insurance Company Limited from the MeroShare (CDSC) website:

Step 1: Log on to www.iporesult.cdsc.com.np

Step 2: You will see this type of interface on your device.

Step 3: Type your 16 digit BOID Number (Beneficial Owner Identification Number)

Step 4: Click on View Result Tab.

Finally, you will get the result message on the interface.

(Note: The IPO result will be shown after the share allotment and upload data on the server)

Other Ways to Check IPO Result of Union Life Insurance:

1. MeroShare Official Website: https://www.meroshare.cdsc.com.np

2. (Prabhu capital IPO result) IPO Result on Prabhu Capail Website: https://prabhucapital.com/share-allotment

Detail Statement:

The IPO Issuing Company	Union Life Insurance Company Limited (ULICL)
Issue Manager	Prabhu Capital Limited
Security Type	Common Stock -IPO
IPO Issued Date	2078-3-24 to 2078-3-28 (8th July 2021, to 12th July 2021)
IPO Face Value	Rs. 100
Total IPO Share	6450000 Units
The share allocated for Mutual Investment (5%)	322500 Units
The Share allocated for employees (5%)	322500Units
Total Share for Individual Investor (General Public = 90%)	5805000 Units
Total Applicants	2112500
Total Allotted Kitta	5805000 Kitta
Total Allottee	580500 applicants

About Company:

Union Life Insurance is a company established under the Companies Act 2063 BS and conducts life insurance business in accordance with the Insurance Act 2049 BS and Insurance Regulations 2049 BS.

It has been operating as per the Companies Act by obtaining business approval on 31st Ashoj 2074 BS and getting a life insurance business license from the Insurance Committee on 20th Ashad, 2074 BS and has been operating insurance business since 4th Ashoj, 2074 BS.

The registered office of the company is located in Siddharthnagar Municipality, Ward No. 8, Rupendehi. The main business office of the company is in Kathmandu Metropolitan City, Ward No. 10, New Baneshwor. At present, the company is providing services from 205 branch and sub-branch offices including seven provincial offices.

According to the decision of the first annual general meeting of Union Life Insurance, the public has to issue 645 thousand shares at the face value of Rs 100 per share equal to Rs 645 million.

The company has stated that the public has to issue IPO in order to raise the required capital for the activities to be done in accordance with the objectives mentioned in the management letter and rules of Union Life Insurance, to develop the services, and to increase the risk of the insurance business.

Union Life Insurance has stated that the capital raised by issuing IPO will be used for commercial purposes of the company subject to the Companies Act, Insurance Act, Rules, and other prevailing laws.

Out of the amount collected after the IPO, the company has Rs. 161.25 million in Government of Nepal bonds/development bonds, Rs. 258 million in term deposits of commercial banks, Rs. 96.7 million in term deposits of development banks and Rs. 64.5 million in term deposits of finance companies. The company has stated that it will invest Rs 64.5 million in rupees and shares of public companies.

Financial Position of the Company:

Union Life Insurance has projected to increase its accumulated income to Rs 1.107 billion by the fiscal year 2079/80. The accumulated income was Rs. 89 million in FY 2074/75 and Rs. 227.7 million in FY 2075/76.

As per the unaudited financial statements of the Fiscal Year 2076/77, the accumulated income is Rs. 729.3 million. Union Life Insurance has projected to increase its accumulated income to Rs. 785.1 million in the current Fiscal Year 2077/78 and Rs. 919.1 million in the Fiscal Year 2078/79.

Similarly, Union Life Insurance has a projected net worth of Rs 152 per share and earnings of Rs 8.76 per share by the fiscal year 2079/80. According to the unrevised financial statement of the last fiscal year, the net worth of the insurance company is Rs 148.46 per share and the earnings per share are Rs 33.33.

Net worth is projected at Rs 137 per share and earnings per share at Rs 4.17 in the current fiscal year.

Union Life Insurance has earned a total premium of Rs 5.70 billion as of mid-June of the current fiscal year. This is an increase of 56.16 percent over the same period last fiscal year. As of mid-June of the last fiscal year, the company had earned a total premium of Rs 3.65 billion.