Economic Report :
Stock market Listed general insurance company Agrani Insurance Limited will distribute 56 per cent of its profit in 2023 to common investors.
For this, the company will distribute 12 per cent cash or Tk 1.2 per share as dividend to the shareholders at the end of December 31, 2023.
Recently the company released their financial report. As seen, the company made a net profit of Tk 7.13 crore during the period, and out of the net profit will distribute Tk 4.04 crore as dividend to the shareholders for ended 2023.
The remaining Tk 3.09 crore will be added by the company to their Reserve & Surplus from where the savings will see the company through their crisis period.
According to the company’s financial statement, Reserve & Surplus of Agrani Insurance totaled Tk 30.09 crore in 2022 and Tk 27.92 crore in 2021.
Agrani Insurance’s earnings per share as of December 31, 2023 increased by 12.90 per cent to Tk 2.10 compared to the same period last year. The company’s earnings per share in 2022 was Tk 1.86.
The company is yet to release full financials for 2023. However, the company’s total investment in various sectors is Tk 52.39 crore, according to the financial statement released in 2022.
Most recently, Agrani Insurance Company Ltd has decided to increase its paid-up capital by issuing one rights share against five existing shares.
For that, the company has called an extraordinary general meeting for its shareholders to get their consent to issue the rights shares.
The company would arrange the meeting virtually on April 18.
The record date is 24 April.
Earlier, in June 2021, the securities regulator rejected Agrani Insurance’s rights share offer due to the company’s failure to submit a Credit Information Bureau report.
The listed non-life insurer would issue one rights share against every five existing ordinary shares to comply with the insurance regulator’s capital adequacy requirement.
The Insurance Development and Regulatory Authority needs non-life insurers to have at least Tk40 crore in paid-up capital and at least 60% shareholding by their sponsors and directors together.
Agrani Insurance has Tk33.98 crore in paid-up capital and only 33.83% of its shares are being held by its sponsors and directors.
Agrani Insurance began its journey two decades ago and got listed on the bourses in 2005. It is engaged in the underwriting business.
At the end of December 2023, the non-life insurer recommended a 12 per cent cash dividend for their shareholders.
On Sunday, the closing share price of the company stood at Tk37.60 on the stock exchange.