1 week Ago By Agnidev Bhattacharya
Canara HSBC Life Insurance Co. filed draft papers for its initial public offering on Tuesday, days after Canara Robeco submitted its own draft papers.Like Canara Robeco, Canara HSBC's IPO will be a pure offer for sale, where Canara Bank, HSBC Insurance and Punjab National Bank will be selling up to 23.
75 crore shares. Since the offer is just a stake sale, no funds from the proceeds will go to the company.Canara HSBC Life was incorporated in 2007 as a 51-26-23 joint venture between Canara Bank, HSBC Insurance Asia-Pacific Holdings Ltd.
and Oriental Bank of Commerce. Following the merger of Oriental Bank of Commerce with Punjab National Bank, the former's 23% stake in the company was transferred to PNB in April 2020.This means that if the OFS is followed through in its entirety, then Canara Bank will sell 14.
5% stake in the company, HSBC Insurance will sell 5%, and PNB another 10%.SBI Capital Markets Ltd., PNB Paribas, HSBC Securities & Capital Markets India Pvt.
, JM Financial Ltd. and Motilal Oswal Investment Advisors Ltd. are the lead managers for the deal.
Canara HSBC's offerings include saving and endowment plans, term plans, group credit life and protection plans and the Pradhan Mantri Jeevan Jyoti Bima Yojana. In Canara Bank's analyst call following its third quarter earnings for fiscal 2024, the lender's Managing Director K Satyanarayana Raju had said that the bank had already proposed a disinvestment in Canara Robeco and Canara HSBC Insurance Co."We are expecting that both the companies may come with their IPOs in the next financial year," Raju had said back then.
Power Finance Corp. Plans To Tap Debt Market With Zero Coupon Bond IssueCanara HSBC Life 9MFY25 Highlights (Year-On-Year) Net premium income rose 15% to Rs 5,266 crore from Rs 4,591 crore.Net profit rose 10% to Rs 85 crore from Rs 77 crore.
In fiscal 2024, the company's net premium income saw a 1% decline, coming up to Rs 7,129 crore, while the profit rose 24% to Rs 113 crore.The company has paid out dividends worth Rs 38 crore for fiscal 2024, and has been paying dividends since 2022.Upon a successful listing, Canara HSBC Life will compete against SBI Life Insurance Co.
, HDFC Life Insurance Co. and ICICI Prudential Life Insurance Co.Canara Robeco IPO: Asset Manager Files Draft Papers, Canara Bank To Sell Up To 2.
6 Crore Shares. Read more on IPOs by NDTV Profit..
