Azerbaijani insurance company announces capitalization to restore its license

Photo: Azerbaijani insurance company announces capitalization to restore its license
 / Economy news

Baku, Azerbaijan, April 18

By Ilaha Khalilova - Trend:

Azerbaijani State Committee for Securities (SCS) registered the issue prospectus of ordinary nominal undocumented shares of Gunay Sıgorta OJSC.

The issue volume is 1.2 million Azerbaijani manats, Baku Stock Exchange (BSE) said on April 18.

Some 1,200 shares at par value of 1,000 manats were issued as part of the emission.

The placement underwriter is Texnika Capital Management LLC.

Azerbaijani Finance Ministry suspended Gunay Sıgorta's license on February 24, 2014.

Under the legislation, Gunay Sigorta needs to align its aggregate capital with the Finance Ministry's minimum requirement within six months in order to reinstate its license.

The minimum amount of total capital of insurers, operating in the non-life insurance sector, is set at the level of five million manats.

Currently, the placement of the company's shares worth 2.2 million manats is underway at the BSE. The company earlier said that upon completion of this process, which started on March 10, the company's authorized capital will grow up to 6.4 million manats, while its total capital will stand at 5.5 million manats.

Correspondingly, after the new issue placement the company's authorized capital will increase up to 7.6 million manats, while the total capital will be 6.7 million manats.

Azerbaijani joint-stock bank Gunay Bank is the sole shareholder of Gunay Sıgorta, which has been operating since 1992.

The official exchange rate on April 18 is 0.7843 AZN/USD.

Translated by E.A.

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