Everything you need to know about Niva Bupa Health Insurance Company IPO

About Niva Bupa Health Insurance Company Limited

Niva Bupa Health Insurance Company Limited is one of India’s largest and fastest-growing health insurers, with a notable overall health GDPI of ₹54,944.28 million in Fiscal 2024. Over the past two years, its growth has significantly outpaced the industry average, with a CAGR of 41.37% in health gross direct premium income (GDPI). Leveraging its ‘Niva Bupa Health’ mobile app and website, the company provides a comprehensive health ecosystem, including diagnostics, digital consultations, and policy management.

It is backed by the Bupa Group, giving it access to international expertise. The company employs a data-driven Lifetime value (LTV)-based approach to customer management and maintains a diversified distribution network, including direct sales and intermediaries. It also emphasizes digital integration and has a high claims settlement ratio, with a substantial network of hospitals. The company has shown impressive growth in its Gross Written Premium (GWP) and maintains a focus on customer satisfaction and retention through extensive service and technology integration.

Issue size

Funds Raised in the IPO Amount
Overall ₹2200 crores
Fresh Issue ₹800 crores
Offer for sale ₹1400 crores

Utilisation of proceeds

Purpose INR crores (%)
Augmentation of capital base to strengthen solvency levels 800 (100%)

Financials

Financial Year Ended March 2023 March 2024 June 2024
Total Assets 3876.57 6191.87 6542.06
Revenue 2859.24 4118.63 1124.90
Profit/Loss After Tax 12.54 81.85 -18.82

Strengths

  • Focus on GWP growth, capital efficiency, and profitability.
  • Diverse product suite with a strong innovation track record.
  • Technology-driven automated customer servicing.
  • Bupa brand backing and expertise in health insurance.
  • Multi-channel distribution with tech-enabled partner empowerment.

Risks

  • Inaccurate pricing or underwriting risks could hurt profitability.
  • Dependence on health insurance makes the company vulnerable to market shifts.
  • Poor relationships with hospitals may affect cashless claims and costs.
  • Delayed claim payments could lead to customer dissatisfaction and penalties.
  • Brand or reputation damage, including Bupa’s, may impact business performance.

IPO schedule

Issue open date 2024-11-07
Issue close date 2024-11-11
UPI mandate deadline 2024-11-11 (5 PM)
Allotment finalization 2024-11-12
Refund initiation 2024-11-13
Share credit 2024-11-13
Listing date 2024-11-14
Mandate end date 2024-11-26
Lock-in end date for anchor investors (50%) 2024-12-12
Lock-in end date for anchor investors (remaining) 2025-02-10
3 Likes