Canara HSBC Life Insurance has filed draft papers with the capital market regulator Sebi for its initial public offer (IPO).
The life insurance company is promoted by Canara Bank (51 per cent) and HSBC Insurance (Asia-Pacific) Holdings Limited (26 per cent), with Punjab National Bank as an investor (23 per cent).
The IPO comprises entirely of offer for sale (OFS) of 23.75 crore shares by promoters and investor according to the draft red herring prospectus (DRHP). Canara Bank will sell 13.77 crore equity shares, HSBC Insurance (Asia-Pacific) Holdings will offload 47.5 lakh shares, and Punjab National Bank plans to divest 9.5 crore equity shares.
Since it is an OFS, the company will not receive any proceeds from the public issue.
As of December 31, 2024, the life insurer had clocked a net profit of ₹84.89 crore compared to ₹77.09 crore in the year-ago period.
Annualised premium equivalent was ₹1714.40 crore compared to ₹1182.11 crore in the corresponding period previous year.
This filing comes days after Canara Robeco Asset Management Company (AMC) filed draft IPO papers with Sebi, which was also an OFS of 4.98 crore shares from promoters, including Canara Bank.
Earlier in January, the bank’s MD and CEO K Satyanarayana Raju had informed analysts at the quarterly earnings call that both companies are expected to come up with their IPOs in 2025-26.
SBI Capital Markets Ltd, BNP Paribas, HSBC Securities & Capital Markets (India) Private Ltd, JM Financial Ltd and Motilal Oswal Investment Advisors Ltd are the book-running lead managers to the issue.
