Niva Bupa Health Insurance Company is launching an initial public offer comprising a fresh issue of equity shares worth INR8bn ($95m) and an Offer for Sale (OFS) amounting to INR14bn, totaling INR22bn.
The anchor book will be open to institutional investors on 6 November. The IPO will open for subscription by others from 7 November 2024 and close on 11 November. The price band for the IPO is expected to be announced today.
Shares, with a nominal value of INR10 each, will be allotted on 12 November and listed on the two bourses, BSE and the NSE, on 13 November.
The net proceeds from the fresh issue are earmarked to enhance the company’s capital base, strengthen solvency ratios, and cover general corporate expenses.
Under the OFS, Bupa Singapore Holdings and Fettle Tone will partially divest their stakes.
Niva Bupa will be the second standalone health insurer (SAHI) to be listed, following Star Health & Allied Insurance Company which was listed in 2021.
Niva Bupa is currently India’s third-largest SAHI. The company ran an extensive distribution network, comprising 143,074 agents and 210 branches across 22 states and four union territories as of 31 March 2024. The company also partners with 64 banks and corporate agents, including HDFC Bank and Axis Bank.