CMLI appoints NIMB Ace Capital as issue manager

KATHMANDU: Crest Micro Life Insurance (CMLI) is issuing 2.25 million units of its Initial Public Offering (IPO) to the general public.

CMLI, which is the first micro life insurance company to issue an IPO, has appointed NIMB Ace Capital as the issue manager for this release.

The CEOs of both companies, Pratap Man Shrestha for CMLI and Shivanth B. Pande for NIMB Ace Capital, signed an agreement on Tuesday. With this agreement, NIMB Ace Capital will manage the issuance and sales of the securities.

The 2.25 million units of shares represent 30% of the issued capital and are valued at Rs 225 million. Each unit is priced at Rs 100.

CMLI’s goal is to offer micro life insurance services to people in low-income and rural areas, as well as from marginalised communities. The company received its micro life insurance licence on April 11, 2023, and was approved to operate by the Nepal Insurance Authority (NIA) on May 22, 2023. It became a public limited company after getting approval from the Office of The Company Registrar on May 24, 2023.

The initial investment from various Nepali business groups makes up 70% of the total. After this IPO issuance, the share of general investors will be 30%.