Niva Bupa Health Insurance Company Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹74
Per ShareLot Size
200 Shares
Minimum Investment
₹14,800
Issue Size
₹2,200 Cr
Face Value
₹10
Per ShareIPO Type
Book Building
Retail Quota
10%
QIB Quota
75%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Niva Bupa Health Insurance Company Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
88.98%
Promoter Holding (Post-Issue)
73.37%
Issue Type
Book Building
ISIN
INE995S01015
About the Company
We are a standalone health insurer ("SAHI") strategically focused on the retail health market. According to the Redseer Report, we are one of India's largest and fastest growing SAHIs based on overall health insurance gross direct premium income ("GDPI") of Rs.54,944.28 million in Fiscal 2024. Our growth in overall health GDPI from Fiscals 2022 to 2024 of 41.37% is one of the highest growths among SAHIs, and is almost double of the industry's average, which according to the Redseer Report, increased by 21.42% from Fiscals 2022 to 2024. We also offer personal accident and travel insurance products to our customers.
Industry Overview
According to the Redseer Report, in India, health insurance providers can be broadly categorized into three main types and as of August 31, 2024, there are 4 IRDAI-recognized public insurers excluding specialized insurers, 21 private insurers and 7 IRDAI-recognized SAHIs. The retail health insurance segment is the most promising segment in the health insurance industry in India as of March 31, 2024, due to higher average premium per life, higher renewal rates and lower combined ratios as compared to group health insurance, and SAHIs lead the retail health insurance with a market share of 56% in Fiscal 2024, according to the Redseer Report.
Company History
The Company was originally incorporated as `Max Bupa Health Insurance Limited' at New Delhi, Delhi as a public limited company under the Companies Act, 1956, pursuant to a certificate of incorporation dated September 5, 2008, issued by the Assistant Registrar of Companies, National Capital Territory of Delhi and Haryana and was granted its certificate for commencement of business on December 23, 2008 by the Deputy Registrar of Companies, National Capital Territory of Delhi and Haryana. Thereafter, the name of the Company was changed to `Max Bupa Health Insurance Company Limited' pursuant to a fresh certificate of incorporation dated July 30, 2009 issued by the Registrar of Companies, National Capital Territory of Delhi and Haryana at New Delhi (now known as Registrar of Companies, Delhi and Haryana (the "RoC")). The name of the Company was further changed to `Niva Bupa Health Insurance Company Limited' pursuant to a fresh certificate of incorporation dated July 5, 2021 issued by the RoC.
Growth Strategy
- Continuing to grow our product portfolio to serve the needs of customers, expand our partnerships with Network Hospitals, and further develop our healthcare ecosystem.
- Continue to invest in technology and analytics to facilitate the sales and servicing of our products.
- Further expand our presence in existing geographies within India, invest in deepening our distribution channels and increase market share in retail health insurance.
- Continue to invest in talent recruitment, development and retention to drive execution.
- Deepen culture of sustainability and "doing the right thing" to create a sustainable health franchise for future generations.
Customer Base
Wholesaler and Retailer
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a standalone basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offer of 297,297,296^ equity shares of face value of Rs. 10 each ("Equity Shares") of Niva Bupa Health Insurance Company Limited (formerly known as Max Bupa Health Insurance Company Limited) ("Company" or "Issuer") for cash at a price of Rs. 74 per equity share (including a share premium of Rs. 64 per equity share) aggregating to Rs. 2200.00 crores (the "Offer"), comprising a fresh issue of 108,108,108^ equity shares of face value Rs. 10 aggregating to Rs. 800.00 crores by the company ("Fresh Issue") and an offer for sale of 189,189,188^ equity shares of face value Rs. 10 aggregating to Rs. 1400.00 crores ("Offer for Sale") by the selling shareholders (as defined below), comprising an offer for sale of 47,297,297^ equity shares of face value Rs. 10 aggregating to Rs. 350.00 crores by Bupa Singapore Holdings Pte. Ltd and an offer for sale of 141,891,891^ equity shares of face value Rs. 10 aggregating to Rs. 1050.00 crores by Fettle Tone llp (together with Bupa Singapore Holdings Pte. Ltd, "Promoter Selling Shareholders"/ "Selling Shareholders" and such equity shares offered by the selling shareholders, the "Offered Shares"). The offer price is 7.40 times the face value of the equity shares. The offer constituted 16.27% of the post-offer paid up equity share capital of the company. ^Subject to finalisation of basis of allotment.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Granular retail health insurer with a focus on delivering robust GWP growth, capital efficiency and profitability.
- Our diverse product suite for customers, bolstered by our track record for product innovation.
- Technology-led automated approach to customer servicing.
- Bupa parentage and brand associated with health insurance and healthcare.
- Our domain knowledge and experience in claims and provider management.
- Its profitability depends on its ability to manage the company underwriting risks and appropriately price its products and any failures to accurately estimate medical expenses or the frequency of claims could have a material adverse effect on its business, financial condition, results of operations, cash flows and prospects.
- As a significant portion of its business is generated from the health insurance line of business, any adverse changes to the demand for health insurance products and the retail health insurance sector may affect the sale of its health insurance products and in turn its business and profitability.
- If the company fails to align its products, including in particular, its retail health insurance products with the needs of the company targeted customer demographics or if its unsuccessful in its product development strategy, the company's business could be materially and adversely affected.
- The company is subject to extensive supervision and regulatory inspections (onsite and offsite, thematic or otherwise) by IRDAI and any regulatory and statutory actions against it or the company distributors could cause it reputational harm and have a material adverse effect on its business, financial condition, cash flows, results of operations and prospects.
- The success of its business depends on the company ability to attract and retain, as well as obtaining timely approvals from IRDAI with respect to, its senior management and employees in critical roles, and the loss of their services could have a material adverse effect on its business, financial condition, results of operations, cash flows and prospects.