Economy, Business And Markets

Insurer Raising Establishment Funds

Insurer Raising Establishment FundsInsurer Raising Establishment Funds

The Securities and Exchange organization has issued a permit for the underwriting of Tejarat Nou Insurance, Bourse Press news website reported.

The insurer is being established by two quasi state companies, who are raising most of the company’s capital from the public.

The SEO has permitted Tejarat Nou to issue 1.75 billion 500 rial shares, the report said. The shares are being subscribed at half their nominal value of 1000 rials.

Shares will be offered in the Iran Farabourse over the counter market, whose requirements are more benign, compared to the Tehran Stock Exchange.

The SEO gave Tejarat Nou 15 days to complete its subscription and underwriting, Gholamreza Aboutorabi, an SEO executive, said on Monday.

Tejarat Nou is being created with a nominal capital of 2.5 trillion rials, according to SENA news agency.

Tejarat Nou plans to operate in all branches of retail insurance.

Maskan and Omran Quds Razavi Co. have a 10 percent stake in Tejarat Nou. The company is a subsidiary of Astan Quds Razavi – an autonomous charitable foundation – in Mashhad, the Iranian second largest city. Astan Quds Razavi is a major player in the economy of the city.

Iranian Investment Company is the insurer’s main shareholder with a 20 percent stake. The private firm declined to comment on the issue when asked via telephone about their stake and their own shareholders by the Financial Tribune. The company’s website does not provide any information about its activities, owners, governance or management. The two companies have pledged to provide 750 billion rials for their 30 percent stake in the insurer, but have so far paid only half of the sum.