Tag: Companies

  • “Intense Competition Propels Life Insurers to Collect Rs. 1.42 Kharba in Premiums Until Ashad”

    “Intense Competition Propels Life Insurers to Collect Rs. 1.42 Kharba in Premiums Until Ashad”


     

    Life insurance companies are currently in a strong competition to increase their premium collections. In the fiscal year 2079/80, until the month of Ashad, they collected a significant amount of Rs. 1.42 Kharba in premiums. This achievement was made possible by the hard work across 1.41 crore active insurance policies.

    According to a report from the Nepal Insurance Authority, Reliable Nepal Life Insurance Company Limited is leading with the highest number of active policies, at 3,344,435. National Life Insurance Company Limited comes next with 1,609,278 policies. On the lower side, Mahalaxmi Life Insurance has 35,015 active policies.

  • “SEBON Grants Licenses to Five New Brokerage Firms”

    “SEBON Grants Licenses to Five New Brokerage Firms”


     

    The Securities Board of Nepal (SEBON) has recently approved licenses for five new brokerage firms. Sajilo Broker Company Ltd, Roadshow Securities Ltd, and Beni Securities Pvt. Ltd have been granted licenses for limited stock broking services, while Himalayan Securities Ltd and Sunny Securities Company Ltd. have been approved as full operating brokerage service providers. These licenses were awarded based on the evaluation of meeting required infrastructure criteria. Earlier, SEBON had issued preliminary licenses or letters of intent to 43 companies in three separate phases.

     

  • “Transition to Public Entities Enables IPO Authorization for Private Limited Companies”

    “Transition to Public Entities Enables IPO Authorization for Private Limited Companies”


     

    Once a private limited company becomes a public entity, it will have the ability to initiate an initial public offering (IPO) after gaining approval.

    In a recent cabinet meeting on Tuesday, the Securities Registration and Issuance (Seventh Amendment) Regulations of 2080 were given the green light. This approval introduced new rules to the capital market, following recommendations from the Securities Board of Nepal (SEBON). Additionally, the need for a

  • SEBON Achieves Record IPO Issuance of 22 Billion in FY 2079/80; Listed Companies Reach 81.61 Arba Market Cap.

    SEBON Achieves Record IPO Issuance of 22 Billion in FY 2079/80; Listed Companies Reach 81.61 Arba Market Cap.


    In the financial year 2079/80, the Securities Board of Nepal (SEBON) achieved a remarkable milestone by approving initial public offerings (IPOs) worth over 22 billion rupees. This surpasses the previous record set in the financial year 2077/78, when SEBON allowed IPOs worth 15 billion 18 crores. Chairman Ramesh Hamal led the effort, breaking the previous record set during Bhishma Raj Dhungana’s tenure.

     

  • “Nepal Stock Exchange (NEPSE) Reveals OTC Transactions for FY 2079-80, 206 Companies Active in the Market”

    “Nepal Stock Exchange (NEPSE) Reveals OTC Transactions for FY 2079-80, 206 Companies Active in the Market”


    The Nepal Stock Exchange (NEPSE) has released the records of Over the Counter (OTC) transactions for the financial year 2079-80, revealing that 206 companies are currently registered and operational in the OTC market.

    During FY 2079-80, out of the 206 registered companies in the OTC market, shares of 84 companies were actively traded, with a total of 2,12,64,095 shares being exchanged between investors. These transactions resulted in a combined market capitalization of Rs. 2.85 Arba.

    In addition, the OTC transactions generated revenue in the form of Capital Gain Tax (CGT), amounting to Rs. 5.29 crores, which is levied on the profit made from share transactions.

    NEPSE introduced the OTC Market platform, which has been operational since 2064 B.S. According to the guidelines set by the Office of the Company Registrar on Magh 18, 2072, public companies that have not listed on the stock exchange due to various reasons, such as de-listing or failure to meet listing criteria, have the opportunity to conduct share transactions and transfers through the OTC market.

    The OTC market provides an alternative platform for investors and companies that are not listed on the main stock exchange to participate in share trading, offering increased accessibility and liquidity for shareholders in this segment of the market.

  • NEPSE Approves Membership for Seven New Brokerage Companies, Expanding Market Services

    NEPSE Approves Membership for Seven New Brokerage Companies, Expanding Market Services


    NEPSE Approves Membership for Seven New Brokerage Companies

    The Nepal Stock Exchange (NEPSE) has confirmed the membership of seven new brokerage companies. These companies have met the criteria and received approval from NEPSE’s Board of Directors.

    Expansion of Brokerage Services

    The seven newly approved companies include Bhole Ganesh Securities Limited, Capital Max Securities Limited, Himalayan Brokerage Company Limited, Sun Securities Private Limited, Miyo Securities Private Limited, Sharepro Securities Private Limited, and Property Wizard Limited.

    Phase Two Approval

    In the second phase, 11 additional companies obtained licenses from the Securities Board of Nepal (SEBON). Mega Stock Markets Limited can now operate as a full securities broker. Nabil Securities Limited, the sole applicant for a broker company with a dealer’s license, also received approval.

    Inspection and Testing

    NEPSE is currently inspecting the infrastructure of new brokers to ensure compliance with regulations. Brokers are preparing their IT manpower and establishing connections through an Application Programming Interface (API) for testing purposes.

    Membership and Business Activities

    After receiving NEPSE’s permission, brokers will need to obtain membership from the CDS and Clearing Limited. Once this process is complete, brokers can begin their business activities in the stock market.

    Preparations Underway

    Brokers are actively managing staff and preparing their infrastructure for smooth operations in the market. They are working to meet requirements and ensure a successful entry.

    NEPSE’s Internal Examination

    NEPSE’s Board of Directors will conduct an internal examination of the NEPSE-30 index before determining its operational date. This demonstrates NEPSE’s commitment to a well-functioning stock market.

  • Shikhar Insurance Leads Non-Life Insurance Premium Collection with Rs. 36.19 Arba in Jestha

    Shikhar Insurance Leads Non-Life Insurance Premium Collection with Rs. 36.19 Arba in Jestha


     

    In the first eleven months of the fiscal year 2079/80, non-life insurance companies in Nepal collected an impressive amount of Rs. 36.19 Arba in premiums from 25.37 lakh active insurance policies. According to a report from the Nepal Insurance Authority, Siddhartha Premier Insurance holds the most active policies at 313,602, followed by Sagarmatha Lumbini Insurance with 305,633 policies. On the other hand, National Insurance Co. Ltd has the fewest active policies, with only 30,563 in total.

     

  • SEBON Grants IPO Approval to Five Companies, Including Two Life Insurance, Two Hydropower, and One Investment Sector Firm.

    SEBON Grants IPO Approval to Five Companies, Including Two Life Insurance, Two Hydropower, and One Investment Sector Firm.


     

    SEBON Approves IPO Issue of 5 Companies; Hathway Investment Nepal to Raise Rs. 14.62 Crores

    The Securities Exchange Board of Nepal (SEBON) has given its approval for the initial public offering (IPO) of five different companies. One of them, Hathway Investment Nepal Limited, plans to issue 29.25 lakh shares at a par value of Rs. 50 per share. This will raise approximately Rs. 14.62 crores for the company, which accounts for 12.5% of its total issued capital. Currently, Hathway Investment Nepal has a paid-up capital of Rs. 1.02 Arba, and after the IPO allotment, it will increase to Rs. 1.17 Arba. Global IME Capital Limited has been appointed as the issue manager for this IPO. The proposal received SEBON’s approval on Ashad 17.

  • “Non-life Insurers Resume Agro Insurance Sales Until Asar End; Threaten Halt if Subsidy Disbursement Fails”

    “Non-life Insurers Resume Agro Insurance Sales Until Asar End; Threaten Halt if Subsidy Disbursement Fails”


     

    Non-life insurance companies in Nepal have decided to restart selling agro insurance policies until the end of Asar 2080, responding to persistent requests from the government and farmers. However, these companies have cautioned the government that they will stop issuing policies if the subsidy amount is not paid within the specified timeframe, according to a media statement.

     

  • Life Insurance Companies in Nepal Compete to Increase Premium Collections

    Life Insurance Companies in Nepal Compete to Increase Premium Collections


    Insurance companies in Nepal are competing to increase their premium collections, the amount of money they receive from policyholders. During the first ten months of the fiscal year 2079/80, life insurance companies collected a total of Rs. 1.14 Kharba in premiums from their 1.38 crore active insurance policies.

    A report from the Nepal Insurance Authority revealed that Nepal Life Insurance Company Limited collected the highest premium amount of Rs. 29.65 Arba. They had 1,035,214 active insurance policies as of Baisakh 2080.

    On the other hand, Himalayan Life Insurance Limited collected the lowest premium amount of Rs. 15.11 Crores due to having only 595 active insurance policies. Himalayan Life Insurance was formed after merging Prime Life Insurance, Gurans Life Insurance, and Union Life Insurance, which is the largest merger in Nepal’s insurance sector.

    In another development, Sanima Life Insurance Company Limited and Reliance Life Insurance Company Limited completed their merger process with a swap ratio of 1:1. They have now combined to form ‘Sanima Reliance Life Insurance Company Limited’ since Chaitra 09.

    Among the insurance companies, Reliable Nepal Life Insurance Co. Ltd. has the highest number of active insurance policies, with 34,77,018 clients as of Baisakh 79/80. However, their premium collection amounted to only Rs. 3 Arba.

  • Bonus Shares of Four Companies Listed in NEPSE

    Bonus Shares of Four Companies Listed in NEPSE


    The NEPSE has listed a total of 26,37,583.15 unit bonus shares of Agricultural Development Bank Limited (ADBL), signaling a significant development for the bank. This comes after the bank’s 16th Annual General Meeting (AGM) held on 14th Chaitra, where a 13% dividend for the fiscal year 2078/79 was endorsed. The Board of Directors (BoD) meeting held on Poush 26 had proposed distributing 2% bonus shares and an 11% cash dividend to the shareholders. The same bonus shares have now been listed in NEPSE, with ADBL currently having a Last Traded Price (LTP) of Rs. 228.

    Salt Trading Corporation Limited (STC) has also seen 2,53,531.19 unit bonus shares listed in NEPSE. The company’s 56th AGM, held on 10th Chaitra, approved a 15% dividend from the profits of FY 78/79. The Board of Directors meeting on Poush 28 proposed distributing 10% bonus shares and a 5% cash dividend (including tax amount) from the profits of the same fiscal year. STC closed at Rs. 3,623 as of the latest update.

    Swabhimaan Laghubitta Bittiya Sanstha Limited (SMFBS) has witnessed the listing of 2,43,564.30 unit bonus shares in NEPSE. During the company’s 6th AGM on the 11th Chaitra, a 21.0526% dividend worth Rs. 2.56 crores for the fiscal year 2078/79 was endorsed. The board meeting on Magh 11 proposed distributing 20% bonus shares and a 1.0526% cash dividend (for tax purposes) based on the paid-up capital of Rs. 12.17 crores. SMFBS currently has an LTP of Rs. 910.

    Mirmire Laghubitta Bittiya Sanstha Limited (MMFDB) has listed 12,21,772.39 unit bonus shares in NEPSE. The company’s 12th AGM on 30th Poush approved a 23% dividend for the fiscal year 2078/79. The board meeting on Poush 06 decided to distribute 23% bonus shares from the profit and reserves maintained for the same fiscal year. The bonus shares, amounting to Rs. 12.21 crores, will be distributed to the shareholders. MMFDB currently has an LTP of Rs. 560.

    The listing of bonus shares in NEPSE indicates positive developments for these companies and provides additional benefits to their shareholders.

  • SEBON issues Letters of Intent to 13 new broker companies who submitted license applications.

    SEBON issues Letters of Intent to 13 new broker companies who submitted license applications.


    The Securities Board of Nepal (SEBON) has initiated the process of granting new licenses for stock brokers and dealers. Following the revision of the Securities Market Operation Regulations 2064 and the Securities Dealers Regulations 2064, SEBON announced a 30-day deadline for accepting applications for new licenses. As a result, 45 companies applied for stock broker licenses and one company applied for a stock dealer license.

    Recently, SEBON issued Letters of Intent (LOI) to 13 new broker companies that had applied for licenses. Earlier, at a board of directors meeting, 16 companies had already received LOIs. So far, 29 companies that have applied for broker licenses have received LOIs from SEBON.

    Once a new broker company receives a letter of intent from SEBON, it is required to set up its infrastructure according to the board-established standards. Following infrastructure preparation, SEBON will monitor the company to ensure that all requirements are met. If all requirements are met during monitoring, the company will be granted a license.