Siddharth Premier Insurance started integrated transaction
KATHMANDU: Siddharth Insurance and Premier Insurance Company (Nepal) are going to do integrated transaction from today, 1st March.
After the merger, the integrated transaction will be conducted under the name of Siddharth Premier Insurance Limited from today.
The two companies are going to be merged on an equal basis i.e. with a share swap ratio of one equal to one. After the merger, Siddharth Insurance will also have one share equal to one share of Premier Insurance.
Siddharth Insurance CEO Birendra Vaidwar Chhetri will be the CEO of the post-merger Siddharth Premier Insurance. The chairman of the board of directors and the DCEO have not been decided yet.
Siddharth Insurance has a paid up capital of Rs 1.39 billion and Premier has a paid up capital of Rs 1.39 billion. The company has informed that after the merger, the company's paid-up capital will reach 2.8 billion. which is more than the minimum capital prescribed by the insurance authority.
The annual general meeting of both the companies held on January 29th passed the proposal to go for merger and on June 27th they signed a preliminary agreement for the merger.