Union Insurance set for stock market debut Sunday

Union Insurance is set to make its stock market debut on Sunday, after its Tk 19.36 initial public offering (IPO).

The company will be traded on the Dhaka Stock Exchange using the trading code “UNIONINS”, said the company in a filing with the DSE on Tuesday.

On June 23 last year, the securities regulator BSEC approved the general insurer’s IPO proposal for issuing over 1.93 crore ordinary shares at an offer price of Tk 10 per share.

The IPO proceeds will be invested in fixed deposit receipts ( Tk 4.5 crore), stock market investment ( Tk 9.69 crore), floor space purchase ( Tk 4 crore) and meeting IPO expenses (Tk 1.16 crore). 

According to the company’s latest annual report, its net profit was Tk 86.88 crore in 2020, which was Tk 103.38 crore in 2019. 

The insurer’s IPO subscription began on December 15 and ended on December 22, 2021.