Canara HSBC Life IPO: The public issue of Canara HSBC Life Insurance Company is likely to be launched by September or October this year. IRDAI has approved this IPO. Through its IPO, the company wants to get a valuation of ₹ 16,500 crore. According to reports, through this public issue, promoters can raise ₹ 3,875 crore to ₹ 4,075 crore. The target of raising ₹ 2,363 crore from Canara Bank Company’s shares, the same Punjab National Bank can set a target of raising around ₹ 1,630 crore.
Waiting for approval of sebi
Canara HSBC Life told CNBC-TV18 that their draft Red Herring Prospects (DRHP) is currently deposited near SEBI for approval. Let us know that the company had filed draft papers of its IPO earlier this year. It is a joint venture of Canara Bank, HSBC Insurance and Punjab National Bank. It has a 51% stake of Canara Bank and HSBC Group has a 26% stake in HSBC insurance.
There will be no fresh issue!
According to draft papers, the company did not disclose more information about the IPO while filing the paper, but it said that it would not include any fresh issue of shares. According to the draft papers viewed by Reuters, Canara Bank will sell up to 137.75 million shares through listing, while HSBC Insurance (Asia-Pacific) holdings will sell up to 4.75 million shares. The only other shareholder of the company, Punjab National Bank, who holds the remaining 23% stake, is planning to sell up to 95 million shares.
Canara HSBC Life Insurance Company recorded a profit in FY 2024 after a tax of ₹ 113 crore, ie PAT, which shows an increase of 24.3 percent compared to the previous year. However, in the same period, the company’s revenue has seen a slight decrease of 1%.
Let us know that Canara HSBC Life Insurance Company is an Indian life insurance company, headquartered in Gurugram. It was established in 2008. Canara HSBC Life Insurance provides various types of life insurance plans, including term insurance, savings schemes, investment schemes and child schemes. The company has a strong network in Tier 1, 2 and 3 cities.