Lahore: Asia Insurance Company Limited has announced a significant move to raise capital through a right share offering, as outlined in a report dated November 12, 2026. The company plans to issue 26,991,757 right shares, which represent approximately 36.97% of its existing paid-up capital. These shares will be offered at a face value of PKR 10 per share, totaling an amount of PKR 269,917,570.
According to the company's official document, the right share offer is not open for public comments. The final offer letter was issued on November 11, 2026, with book closure scheduled for November 19, 2026. Subscription payments are to be made between November 21 and December 14, 2026, while trading of the rights will occur from November 23 to December 7, 2026. Interested parties can download the offer document from the company's official website or the Pakistan Stock Exchange's (PSX) website.
The initiative comes as Asia Insurance Company Limited seeks to bolster its capital base. The pre-issue paid-up capital of the company, recorded at PKR 730.08 million, is set to increase to PKR 1,000 million post-issue, reflecting a 36.97% rise. This move aligns with the company’s strategic goals to enhance its financial stability and market position.
The company’s financial metrics, including its net asset value per share, are expected to undergo changes following the capital raising. The net asset value is anticipated to decrease by 10.81%, from PKR 16.65 to PKR 14.85 per share. Meanwhile, the gearing ratio is projected to improve, moving from 1.87% to 1.53%, marking an 18.17% reduction.
Asia Insurance Company Limited currently holds a market share of 1.9%, situating it within the category of small-sized players in the insurance sector, as defined by the market’s classification criteria based on Gross Premium Written. The company reported a GPW of PKR 1,819 million for the half-year ending 2025. According to information available from the Pakistan Stock Exchange (PSX), the company’s market share remains unchanged post-issue.
The underwriting of the right shares is managed by Arif Habib Limited, which has underwritten an amount of PKR 8,097,527. The total expenses associated with the issue include a PSX fee of PKR 539,835, a SECP supervisory fee of PKR 53,983, a CDC fresh issue fee of PKR 573,640.09, an annual listing fee of PKR 600,000, auditor fees of PKR 500,000, and other expenses amounting to PKR 1,000,000.
Notably, commitments from substantial shareholders and directors have been secured, with a total of 26,185,436 shares committed for subscription, amounting to PKR 261,854,360. This includes commitments from key figures such as Mr. Ihtsham ul Haq Qureshi, who is both a substantial shareholder and a non-executive director, and the CEO, Zain ul Haq Qureshi, among others. These commitments ensure a robust backing for the rights issue and reflect confidence in the company’s future prospects.