Niva Bupa Health Insurance IPO Subscribed 2.6 Times! Aims to Raise Rs 2200 Cr

Niva Bupa Health Insurance's IPO is receiving significant interest, with subscriptions nearly doubling by 3 pm on the final day. Retail investors have shown strong participation, subscribing 2.6 times their allotted portion. The IPO aims to raise ₹2200 crore, with shares priced between ₹70 and ₹74 each. Retail investors can apply for the IPO starting 7 November.

Niva Bupa Health Insurance’s IPO opened on 7 November and will close on 11 November. Investors can purchase shares in lots of 200. The public issue includes ₹800 crore in fresh shares, while an additional ₹1400 crore will be raised through an offer for sale (OFS).

The subscription status for Neva Bupa's IPO shows varied interest across categories. Qualified Institutional Buyers (QIBs) have subscribed 1.98 times, while Non-Institutional Investors (NIIs) have subscribed 0.65 times. Overall, the total subscription stands at 1.73 times.

CategorySubscription (times)

The offer for sale involves existing investors and promoters divesting their stakes. Bupa Singapore Holdings Pte Ltd plans to sell shares worth ₹320 crore, while Fettle Tone LLP may sell up to ₹1880 crore in shares.

• Open from 7 to 11 November
• Price Band: ₹70-74 per share
• Lot Size: 200 shares
• Issue Size: ₹2200 crore
• Fresh Issue: ₹800 crore
• OFS: ₹14000 crore
• Minimum Investment: ₹14800

The gray market has shown little activity regarding Neva Bupa's IPO, with a current GMP of zero. Shares might list at the issue price of ₹74, but gray market trends are not always reliable indicators of listing prices. The shares are set to list on 14 November.

Banks Managing the Neva Bupa IPO

The IPO is managed by several financial institutions, including ICICI Securities, Morgan Stanley India Company, Kotak Mahindra Capital Company, Axis Capital, HDFC Bank, and Motilal Oswal Investment Advisors. Neva Bupa is the second standalone health insurer after Star Health and Allied Insurance Company to launch an IPO.

The share allotment for Neva Bupa's IPO is scheduled for 12 November, with shares credited to accounts by 13 November and listed on 14 November. The majority stake in Neva Bupa is held by Bupa, a UK-based healthcare company, with Bupa Singapore Holdings owning a 62.27% stake.

This strategic move by Neva Bupa Health Insurance marks a significant step in its growth trajectory within the health insurance sector in India.