Key Details:
- Issue Type: Main Board IPO
- Issue Size: ₹5,700 crores
- Fresh Issue:₹800.00 Cr
- Offer For Sale: ₹1,400.00 Cr
- Face Value: ₹10 per share
- Price Band: ₹70 to ₹74 per share
- Lead Managers: To be announced
- Registrar: Kfin Technologies Limited
Timeline
| IPO Open Date: | November 7, 2024 |
| IPO Close Date: | November 11, 2024 |
| Basis of Allotment: | November 12, 2024 |
| Refunds: | November 13, 2024 |
| Credit to Demat Account: | November 13, 2024 |
| IPO Listing Date: | November 14, 2024 |
About Company
Niva Bupa Health Insurance Limited is a leading private health insurance company in India. It offers a range of health insurance products, including individual health insurance, family floater plans, senior citizen plans, and group health insurance.
Core Business:
- Health Insurance: Niva Bupa provides comprehensive health insurance solutions to individuals and families.
- Corporate Health Insurance: The company offers group health insurance plans to corporates.
Market Position:
- Niva Bupa is a well-established player in the Indian health insurance market.
- The company has a strong focus on customer service and claims settlement.
- Niva Bupa has a wide network of hospitals and healthcare providers across India.
Future Outlook:
The company may also explore strategic partnerships and acquisitions to further its growth.
The Indian health insurance market is expected to grow, driven by increasing healthcare costs and rising health consciousness.
Niva Bupa aims to expand its product offerings, strengthen its distribution network, and enhance its digital capabilities.
Read DRHP Here
Objective
The primary objectives of the Niva Bupa Health Insurance IPO are:
- Augmentation of Capital Base: The company aims to strengthen its financial position by raising capital through the IPO. This will improve its solvency levels and enable it to meet future growth and operational requirements.
- General Corporate Purposes: The funds raised from the IPO will be used for general corporate purposes, which may include strategic investments, working capital requirements, and other business development initiatives.
By achieving these objectives, Niva Bupa Health Insurance aims to enhance its market position, expand its product offerings, and improve its customer service.
POSITIVE
- Growing Market: The Indian health insurance market is experiencing significant growth due to increasing healthcare costs and government initiatives.
- Strong Brand Reputation: Niva Bupa has established itself as a reliable and customer-centric health insurance provider.
- Diverse Product Offerings: The company offers a range of health insurance products to cater to different customer needs.
- Focus on Technology: Niva Bupa leverages technology to improve customer experience and streamline operations.
NEGATIVE
- Intense Competition: The health insurance market is highly competitive, with established players and new entrants.
- Regulatory Challenges: The health insurance industry is subject to regulatory changes, which can impact the business.
- Economic Downturns: Economic downturns can affect consumer spending on health insurance.
- Claim Settlement Challenges: Timely and hassle-free claim settlement is crucial for customer satisfaction and retention.
Financial Review of Niva Bupa Health Insurance IPO
So, How Does Niva Bupa Health Insurance IPO Fare in Terms of Financials ?
| Period Ended | 30 Jun 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 6,542.06 | 6,191.87 | 3,876.57 | 2,738.44 |
| Revenue | 1,124.90 | 4,118.63 | 2,859.24 | 1,884.54 |
| Profit After Tax | -18.82 | 81.85 | 12.54 | -196.53 |
| Net Worth | 2,031.77 | 2,049.59 | 831.12 | 507.65 |
| Reserves and Surplus | 1,282.44 | 1,282.02 | 334.26 | 125.40 |
| Total Borrowing | 250.00 | 250.00 | 250.00 | 250.00 |
| Amount in ₹ Crore | ||||
Niva Bupa Health Insurance IPO Valuation :
| KPI | Values |
|---|---|
| ROE | 0.12 |
| ROCE | |
| Debt/Equity | |
| RoNW | -0.92 |
| PAT Margin (%) |
SWOT Analysis: Niva Bupa Health Insurance IPO
Strengths
- Strong Brand Reputation: Niva Bupa has a strong brand reputation for providing quality health insurance products and services.
- Diverse Product Offerings: The company offers a wide range of health insurance products to cater to different customer needs.
- Strong Distribution Network: Niva Bupa has a strong distribution network to reach a wide customer base.
- Focus on Technology: The company leverages technology to improve customer experience and streamline operations.
Weaknesses
- Competition: The health insurance market is highly competitive with established players and new entrants.
- Regulatory Challenges: The health insurance industry is subject to regulatory changes, which can impact operations and profitability.
- Claim Settlement Issues: Timely and hassle-free claim settlement is crucial for customer satisfaction, and any delays or disputes can damage the company’s reputation.
Opportunities
- Growing Middle Class: The growing middle class in India is driving demand for health insurance.
- Government Initiatives: Government initiatives to promote health insurance can boost industry growth.
- Digital Transformation: Leveraging technology to improve customer experience, streamline operations, and launch innovative products.
Threats
- Economic Downturns: Economic downturns can impact consumer spending on health insurance.
- Rising Healthcare Costs: Increasing healthcare costs can put pressure on insurance premiums and profitability.
- Natural Disasters and Pandemics: Natural disasters and pandemics can lead to increased claims and strain the company’s finances.
Competitive Analysis: Niva Bupa Health Insurance Limited
Key Competitors
Niva Bupa Health Insurance Limited operates in a highly competitive health insurance market in India. Key competitors include:
- HDFC ERGO Health Insurance: A joint venture between HDFC Limited and ERGO International, offering a wide range of health insurance products.
- Max Life Insurance Company: A joint venture between Max Financial Services and Mitsui Sumitomo Insurance, providing life and health insurance solutions.
- Care Health Insurance: A leading health insurance provider in India, offering a variety of plans for individuals and families.
- Star Health and Allied Insurance Company: A specialized health insurance company offering a range of products.
Niva Bupa Health Insurance IPO GMP
- Grey market premium as on 09-11-2024 = ₹ 74/ Share
Disclaimer:
- IPO Grey Market Premium (Niva Bupa Health Insurance IPO GMP) mention is valid for the specific date as mentioned in the header.
- We are not buying and selling IPO forms on IPO Grey Market.
- Don’t decide to subscribe to an IPO just based on the initial price, as it can change before the listing.Subscribe only considering Fundamentals of the companies.
Niva Bupa Health Insurance IPO
🔴 Live Subscription Status 🔴
09/11/2024 10:00 AM
| | NO OF SHARES OFFERED | Day 1 | Day 2 |
| Qualified Institutional Buyers(QIBs) | 89,189,190 | 0.83 | 1.59 |
| Non Institutional Investors(NIIs) | 44,594,595 | 0.35 | 0.42 |
| Retail Individual Investors(RIIs) | 29,729,730 | 0.76 | 1.43 |
| Employees | – | – | |
| Total | 163,513,515 | 0.69 | 1.24 |
FINAL TAKEAWAY
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