Guardian Micro Life IPO Oversubscribed: Details, Timeline, and Future Plans

Guardian Micro Life Insurance’s recent IPO has attracted significant interest from investors. A total of 47,663 applicants applied for shares worth NPR 25.84 crore, resulting in a demand for 25,84,530 shares, which is 11.48 times greater than the shares available for Nepali migrant workers.

IPO Targeting Nepali Workers Abroad

In its first phase, the company focused on Nepali workers living abroad. The insurance firm was authorized to issue shares worth NPR 22.50 crore, which accounts for 30% of its total paid-up capital. Of this amount, 10% (NPR 2.25 crore) was reserved for migrant workers. This phase made available 2,25,000 shares, priced at NPR 100 each.

Future Share Allocation Plan

Following the completion of the initial phase, Guardian Micro Life Insurance will allocate shares in the subsequent stages:

Employees: 67,500 shares (3% of total IPO).

Mutual Funds: 1,12,500 shares (5% of total IPO).

General Public: 18,45,000 shares.

Timeline and Management of the IPO Process

The IPO for Nepali migrant workers was open from December 4 to December 13. The entire process was overseen by Kumari Capital Limited, a well-established issue manager, ensuring efficient execution and adherence to regulatory standards.

Projected Increase in Paid-Up Capital

Upon completion of the IPO, Guardian Micro Life Insurance is expected to see a significant boost in its paid-up capital, which is anticipated to rise to NPR 75 crore.

This increase will fortify the company’s financial foundation, enabling it to expand and improve its market position within the insurance industry.

What’s Next for Investors?

With the first phase now concluded, Guardian Micro Life Insurance will shift focus to share allocations for its employees, mutual funds, and the general public. Investors are encouraged to stay informed about upcoming stages and the final distribution of shares.

This IPO has demonstrated remarkable investor interest, particularly among Nepali migrant workers, setting a new benchmark for future offerings.