Niva Bupa's IPO got a lukewarm response from investors
The secondary market of the stock market has been witnessing a continuous decline for the last one and a half months. But the bad mood of the market has started affecting the primary market i.e. the IPO market as well. And this can be gauged from the fact that after the IPOs of swiggy and Sagility india Limited, the IPO of Niva Bupa health Insurance, a health insurance company, has also somehow managed to fill up. On the last day of application, Niva Bupa's IPO closed with a mere 1.80 times subscription.
The IPO of Niva Bupa health Insurance opened on 7 november and the last date for applying was 11 November. 9,42,85,715 shares were reserved for institutional investors in the IPO and this category could be subscribed only 2.06 times. 4,71,42,857 shares were reserved for non-institutional investors and this category could be filled only 0.68 times. 3,14,28,571 shares were reserved for retail investors and this category was filled 2.73 times. That is, the IPO has sailed through thanks to institutional and retail investors.
Niva Bupa health Insurance is raising Rs 2200 crore from the market through IPO, in which the company is raising Rs 800 crore by issuing new shares and Rs 1400 crore through offer for sale. The company had fixed a price band of Rs 70-74 for a share with a data-face value of Rs 10. The basis of allotment will be decided on november 12. Refunds will be issued to investors on november 13 and shares will be credited to the demat accounts of investors on the same day and Niva Bupa's IPO will be listed on the National Stock Exchange and BSE on Thursday, november 14. Bupa singapore Holdings Pte Ltd and Bupa Investments Overseas Limited are the promoter companies of Niva Bupa health Insurance. In the financial year 2023-24, Niva Bupa health Insurance has seen a jump of 44.05 percent in revenue and 552 percent in net profit.