The company is distributing bonus share worth Rs 69.5 million. Moreover, the company is also distributing cash dividend amounting to Rs 3.6 million for tax purpose.
Presently, the company has a paid-up capital of Rs 514.4 million that will reach Rs 584 million after the bonus share distribution.
As per the IB directive, the company requires to meet paid-up capital of Rs 1 billion by the end of the current FY which means it still requires adding Rs 417.4 million to its paid-up capital.
According to Kabita Joshi, COO of Premier Insurance, the company will utilize its reserve fund to meet the unmet capital.
