Mumbai, Nov 7
Niva Bupa Health Insurance Company saw its initial public offering (IPO) subscribed 65 per cent on the first day of bidding.
The issue received bids of 11,19,04,400 shares against the offered 17,28,57,143 equity shares, at a price band of Rs 70-74, according to the data available on the stock exchanges, according to a company statement.
Retail portion and non-institutional investors portion were subscribed 0.71 times and 0.33 times respectively, whereas Qualified Institutional Buyer portion was subscribed 0.79 times. The issue will close on Monday.
The IPO is a mix of fresh issue of up to Rs 800 crore and an offer of sale (OFS) up to Rs 1,400 crore by Bupa Singapore Holdings Pte. Ltd., Fettle Tone LLP.
A day before the opening of the issue, Niva Bupa Health Insurance Company raised Rs 990 crore from anchor investors.
Foreign and domestic institutions who participated in the anchor included Amansha Holdings, Zulia Investments, A91 Emerging Fund II LLP, Nippon Life, Tata Balance Advantage Fund, Axis Mutual Fund and Morgan Stanley Investment Fund, among others.
Leading brokerage firms like Bajaj Broking, BP Equities, Canara Bank Securities, Mehta Equities, and Ventura Securities, have given a "Subscribe" rating to the issue.
It is the country's third largest and second fastest-growing standalone health insurance company (SAHI) based on overall health GDPI of Rs 54.94 billion in fiscal 2024, which grew at a CAGR of 41.37 per cent from fiscal 2022 to 2024, almost double of the industry's average.
The company's gross written premium (GWP) rose from Rs 2,809.97 crore in FY22 to Rs 5,607.57 crore in FY24. As of June 30, Niva Bupa insured 14.99 million lives.