Trust Islami Life Insurance gets BSEC nod to raise Tk16cr IPO
Trust Islami Life Insurance Ltd will raise Tk16 crore from the stock market by issuing 1.6 crore shares through an Initial Public Offering (IPO).
The Bangladesh Securities and Exchange Commission (BSEC) approved the IPO on Wednesday.
The shares will be offered to the public at a face value of Tk10 each.
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The company will invest the fund in government securities, fixed deposit receipts (FDRs), and the secondary market.
According to the audited financial report for the year ending on 30 June 2022, its total surplus is Tk73.20 lakh. The net asset value per share of the company was Tk10.30.
The authorised capital of Trust Islami Life Insurance is Tk100 crore. Its paid-up capital is Tk24 crore.
The investment of the company is Tk15.68 crore while it collected a net premium of Tk17.37 crore. Besides, the total asset of the company stood at Tk45.67 crore, while its total liabilities remained Tk7.96 crore.
BMSL Investment Limited is working as the issue manager of Trust Islami Life Insurance for its IPO process.
As per BSEC condition, the life insurer will not be able to declare the dividend, its approval, and distribution before listing in the capital market.
Trust Islami Life Insurance Limited was established in February 2014. It is engaged in Life Insurance, Group Insurance, and Micro Insurance businesses.
There are 78 companies in the insurance sector of Bangladesh. Of them, 32 are life insurance and 46 are non-life insurance companies. Fifty-six of the insurance companies are listed on the stock exchanges.
Experts have been saying for a long time that Bangladesh is one of the most untapped insurance markets in terms of penetration rate. Awareness and a strong culture of insurance service behind economic activities can help the industry thrive.
