Neco Insurance (NIL) proposes 12.63% dividend ; goes beyond the paid-up requirement

The 37th board meeting of Neco Insurance held yesterday has proposed 12% bonus shares for the shareholders. The company has also proposed 0.63% cash dividend for tax purpose.

The announced dividend relates to fy 2074/75. However, the decision is subject to approval from Insurance board and company's upcoming AGM. 

Neco Insurance currently has already met the paid-up requirement and has a paid-up capital of Rs 1.17 arba. The capital will surge to Rs 1.31 arba after capitalization of bonus shares. Non-life Insurance companies are reqired to have a paid-up capital of Rs 1 arba. However, only 4 companies have met the paid-up requirement.