Standard Capital REP-033 | [Link].
pk
Securities (Pvt.) Ltd Banks SCS RESEARCH
Insurance Sector update Friday, 18 October 2024
The print media is reporting that apex regulator
“SECP”
If we look has issued
in to those SRO 1588(I)/2024
companies which gives to introduce
good
draft
return and amendments
they to theas
are Billion Dollar Insurance Rules,
well so they are2017
which
UBL, MEBL & OGDC. could increase paid-up capital requirement of
life insurance
In last decade & general
of 52 week’s insurance
we have seen fewcompanies.
stocks did
multiplePaid-up
ax’s like capital
SAZEW,criteria
GAMON, GAL & AIRLINK.
1. life insurance
We can see few stocks who has PKRa1000mn
potential to cross
2. mark
billion-dollar General andinsurance PKRto
they are near 800mn
billion dollars
and these• companies
Insurance are LUCK, MCB,
companies thatPAKT.
are currently
working below the minimum capital
requirement can increase respective paid-ups
till 2025.
Those insurance companies that are not currently
registered but want to register itself than they will
have a different requirement:
1. Life insurance PKR 3000mn
2. General insurance PKR 2000mn
• We have shortlisted listed insurance companies
in which big companies are already having
’surplus’ as far as paid up requirement is
concerned. But some small players needed to
pop up or infuse more capital.
• It seems many small insurance players who are
facing ‘shortfall’ of paid up would be ‘target’
companies.
• Or these companies would have to ‘recapitalize’
in way of right issue.
• We see CENI (PE 3.34x) as one insurance
Ahsan Muhammad Asif company with the strong ‘Century Group’
info@[Link] backing.
021-111-111-721
Standard Capital REP-033 | [Link]
Securities (Pvt.) Ltd BANKS SCS RESEARCH
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