Niva Bupa Health Insurer Seeks to Raise Rs 3,000 Crore Through IPO


Indian health insurer Niva Bupa officials have filed for an initial public offering (IPO) to raise up to Rs 3,000 crore (approximately $360 million), according to draft papers submitted on Monday.

The company, primarily owned by the British United Provident Fund (Bupa), intends to issue fresh shares worth up to Rs 8 crore as part of the offering. The proceeds from this sale are planned to strengthen its balance sheet and cover operating expenses. Additionally, existing shareholders Bupa Singapore Holdings and Fettle Tone will sell shares worth up to Rs 2,200 crore, according to Niva Bupa officials.

As of the end of fiscal year 2024, Niva Bupa’s borrowings remained steady at Rs 250 crore for the third consecutive fiscal year. The company’s total income, comprising net premium income, investment income, and other income, increased by 44% year-on-year. The book-running managers for Niva Bupa’s IPO include ICICI Securities, Morgan Stanley, Kotak Mahindra Capital, and Axis Capital.

The company is preparing to go public in India’s flourishing IPO market. Over 100 companies have collectively raised around $4 billion through IPOs in 2024, more than doubling the amount raised by this time last year, according to the sources. This surge is attributed to the domestic equity market reaching an all-time high, driven by expectations of robust economic growth.

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