Shikar Insurance Company Limited (SICL) is not distributing the dividend for FY 2077/78.
According to the 272nd board of directors meeting held on Jestha 17, 2079 has clarified that the company has enough reserve until FY 2077/2078 to meet the requirements on increasing their capital to Rs. 2.50 Arba as mandated by Beema Samiti (Insurance Board). Earlier, after the allotment of 30% right shares, the company’s paid-up capital has exceeded to Rs. 2.28 Arba.
Though the company can easily increase its minimum paid up capital of Rs 2.5 arba from the stock dividend, the concern is whether the company can maintain this adequacy or not in the upcoming years and also if there is an environment for merging or acquiring other companies. During the company’s BOD meeting, the company stated that the necessary decision and analysis would be taken soon.
The company further clarified that the paid-up capital will be increased to Rs. 2.5 Arba within the specified time issued by the Beema Samiti. However, the company has decided not to distribute dividends of F.Y 2077/78 to the shareholders of the company.
The company had distributed 29.231% dividend to the shareholders for the FY 2076/77.