Niva Bupa Health Insurance IPO Subscription Details on Day 2

8 Nov 2024 , 01:06 PM

Niva Bupa Health Insurance’s IPO, launched on November 7, achieved a 78% subscription by 1:03 pm on the second bidding day, with a 65% subscription recorded on the first day.

Qualified Institutional Buyers (QIB) subscribed to 0.98 times, Retail Individual Investors (RII) reached 1.11 times subscription, while Non-Institutional Investors stood at 0.36 times. Prior to the IPO, Niva Bupa raised ₹990 Crore from anchor investors, with the IPO price band set at ₹70-74 per share.

The IPO closes on November 11, with allotment slated for November 12, and share listing expected on November 14. The IPO includes a fresh equity issue worth ₹800 Crore and an offer-for-sale (OFS) of ₹1,400 Crore from promoters.

Promoters Bupa Singapore Holdings Pte and True North’s Fettle Tone LLP are selling shares worth ₹350 Crore and ₹1,050 Crore, respectively, reducing their 89.07% stake in the company.

Niva Bupa, based in Gurugram, holds a 17.29% market share in India’s standalone health insurance (SAHI) segment, up from 16.24% last fiscal. For FY24, the company’s GDPI reached ₹5,494 Crore, making it the third-largest SAHI provider in India.

Financially, Niva Bupa reported a net profit of ₹81.85 Crore in FY23-24, up from ₹12.5 Crore the previous year, despite a drop in operating profit from ₹350.9 Crore to ₹188 Crore.