Founder Shares of Nepal Life Insurance Put Up for Sale

31st December 2025, Kathmandu

In a significant move within the Nepalese secondary market, a substantial block of founder group shares of Nepal Life Insurance Company Limited has been officially placed on the market for auction. This announcement was made through a formal public notice issued by Muktinath Capital Limited, which is serving as the designated share sales manager for this transaction.

Nepal Life Founder Shares

The offering provides a unique opportunity for eligible individuals, corporate entities, and institutional investors to acquire a stake in the founder group of one of Nepal’s most prominent life insurance companies. As the insurance sector continues to mature, the sale of such a large volume of founder shares is being closely monitored by market analysts for its impact on the company’s shareholding structure and its valuation in the over the counter market.

DETAILS OF THE SHARE OFFERING AND PRICING

The offering consists of exactly 200,000 units of founder shares. According to the guidelines set by the sales manager, these shares are being offered at a minimum base price of 400 rupees per unit. This pricing is a critical factor for potential bidders, as any application submitted below this threshold will be automatically disqualified during the screening process. Investors who are interested in participating in this auction must submit sealed bids, indicating the number of shares they wish to purchase and the price they are willing to pay. This competitive bidding process ensures that the shares are allocated at the most efficient market price while providing a transparent exit or entry point for high net worth stakeholders.

ELIGIBILITY CRITERIA AND APPLICATION TIMELINE

The window for submitting applications is strictly defined. Interested buyers can begin submitting their sealed bids from Poush 16, 2082. The application period will remain active for exactly one week, with the final deadline for submission set for Poush 23, 2082. Eligibility for purchasing these shares is governed by the prevailing regulatory provisions set by the Nepal Insurance Authority and the Securities Board of Nepal. While the shares are primarily offered to existing founder shareholders as per the right of first refusal, the notice clarifies that eligible individuals, companies, and organizations are also welcome to bid. This inclusive approach helps in maintaining liquidity within the founder share category, which is typically less frequently traded than ordinary shares.

SUBMISSION REQUIREMENTS AND FINANCIAL PROCEDURES

All applications must be physically submitted at the office of Muktinath Capital Limited, located in Narayanchaur, Naxal, Kathmandu. To ensure the seriousness of the bids and to protect the integrity of the auction, the sales manager requires applicants to deposit 100 percent of the total bid value upfront. This payment must be made using a Good for Payment Cheque issued in the name of Muktinath Capital Limited. Additionally, a prescribed fee is charged for the application form itself. This rigorous financial requirement serves as a filter to ensure that only financially capable and committed investors participate in the auction, thereby preventing speculative bidding that could disrupt the final allotment.

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ALLOTMENT PROCESS AND REGULATORY OVERSIGHT

The allotment of the 200,000 founder shares will be carried out in a systematic manner following the review of all submitted bids. In instances where multiple applicants have bid at the same price, the allocation will follow the priority guidelines established by regulatory authorities. Generally, preference is given to existing founder shareholders to maintain the internal stability of the company. However, if the shares remain unsubscribed after the initial preference phase, they will be distributed among other qualified bidders starting from the highest price offered. Muktinath Capital has emphasized that every step of this process is conducted under the strict supervision of securities laws and directives to ensure total transparency and fairness.

STRATEGIC IMPORTANCE OF NEPAL LIFE INSURANCE SHARES

Nepal Life Insurance Company Limited is a titan in the national insurance landscape, holding a massive market share and a robust portfolio of life insurance products. Owning founder shares in such an institution carries significant strategic value. Unlike ordinary shares, founder shares represent the core capital and long term commitment of the original promoters. For institutional investors, this auction represents an opportunity to gain a foothold in the strategic decision making levels of the company. The minimum price of 400 rupees reflects the stable valuation and strong dividend history of the insurer, making it a sought after asset for those looking for long term capital appreciation and institutional influence.

TERMS AND CONDITIONS FOR DISQUALIFICATION

Muktinath Capital Limited has reserved the right to accept or reject any or all bids without the obligation to provide a specific reason. This clause is a standard practice in large scale share auctions to protect the interests of the seller and the company. Common reasons for the rejection of a bid include insufficient deposit amounts, failure to provide the necessary corporate or individual identification documents, or bidding below the floor price of 400 rupees. Potential investors are advised to double check their application forms and ensure that their Good for Payment Cheque is properly authorized by their bank to avoid any last minute complications that could lead to their disqualification from this prestigious offering.

CONCLUSION AND NEXT STEPS FOR POTENTIAL BIDDERS

In conclusion, the sale of 200,000 founder shares of Nepal Life Insurance Company Limited is a major event for the Nepalese capital market in late 2025. With a minimum bid price of 400 rupees and a clear deadline of Poush 23, the auction is structured to attract serious and high caliber investors. Muktinath Capital Limited’s role as the sales manager ensures that the process will be handled with professional rigor and in full compliance with the law. For those looking to invest in the cornerstone of Nepal’s insurance industry, this auction is a rare opening. Interested parties should visit the Naxal office promptly to collect the necessary forms and finalize their financial arrangements.

For More: Nepal Life Founder Shares