Sonali Life investors to get minimum 17 primary shares

A primary investor will get a minimum of 17 initial public offering (IPO) shares of the Sonali Life Insurance Company.

The Dhaka stock exchange (DSE) on Monday formally allocated the IPO shares of Sanali Life, under the newly introduced pro-rata basis.

According to the DSE, the company's IPO shares have been 36.45 times oversubscribed by eligible investors who submitted applications through the electronic subscription system (ESS).  

Of the eligible investors, ones who have applied for Tk10,000 will get a minimum of 17 IPO shares of Sonali Life, while those who have applied for Tk20,000, Tk30,000, Tk40,000 and Tk50,000 will get 34, 51, 68 and 85 shares, respectively.

Besides, affected investors will get a minimum of 22 shares and non-residential Bangladeshis (NRBs) will get a minimum of 33 shares of the company. 

The company completed its IPO subscription from 30 May to 3 June this year.

On 9 December 2020, the regulator gave approval to the company for raising Tk19 crore from the stock market by issuing 1.9 crore shares through IPO.

The shares will be offered to the public at a face value of Tk10 each.

The company will invest the fund in government securities, fixed deposit receipts (FDRs), and in the secondary market.

According to the company's audited financial report for the year that ended on 31 December 2019, its net asset value per share was Tk25.47, excluding revaluation, and its life insurance fund stood at Tk95.33 crore.

The authorised capital of Sonali Life Insurance Company Ltd, which was incorporated in Bangladesh on 7 July 2013, is Tk100 crore.

Currently, its paid-up capital is Tk28.5 crore and its post-IPO paid-up capital will be Tk47.5 crore.

The company has more than 76 branches and service centres across the country.

It has no subsidiary and does not belong to a holding company.

ICB Capital Management and Agrani Equity and Investment are working as the issue managers of Sonali Life Insurance for its IPO process.