Canara HSBC Life Insurance Company Limited files DRHP with SEBI for an IPO

Canara HSBC Life Insurance Company Limited, a prominent bank led private player in the Indian life insurance sector has filed its Draft Red Herring Prospectus (DRHP) with SEBI for an Initial Public Offering (IPO).

Canara Bank and HSBC Insurance (Asia-Pacific) Holdings Limited are the promoters of the company.

The offer comprises of an Offer for sale of up to 237,500,000 Equity Shares of face value of ₹10 each, (The “Offer for Sale”) including up to 137,750,000 equity shares by Canara Bank (“Promoter Selling Shareholder”); up to 4,750,000 equity shares by HSBC Insurance (Asia-Pacific) Holdings Limited (“Promoter Selling Shareholder”); and up to 95,000,000 equity shares by Punjab National Bank (“Investor Selling Shareholder”).

Canara HSBC Life Insurance Company Limited is a private life insurer in India and is promoted by Canara Bank (which ranks as the fourth largest public sector bank by total assets in India as at December 31, 2024. (Source: CRISIL Report)) and HSBC Insurance (Asia-Pacific) Holdings Limited, a member of The Hongkong and Shanghai Banking Corporation Limited (“HSBC”) group, whose global reputation as a financial institution adds credibility and brand value to the company.) The company had the third highest assets under management (“AUM”) amongst public sector promoted led life insurers, as at March 31, 2024 (Source: CRISIL Report) and ranks amongst the top five bank led life insurers in India based on the number of lives covered for Fiscal 2024. (Source: CRISIL Report)

Incorporated in 2007, Canara HSBC Life Insurance Company Limited has grown into a prominent bank led private player in the Indian life insurance sector as it ranks second amongst public sector bank led life insurers in India based on the number of lives covered for Fiscal 2024. (Source: CRISIL Report). The Annualised Premium Equivalent (“APE”) of the Company has consistently grown, reflecting efforts to expand products and services and increase market presence. The profit after tax of the Company has increased at a CAGR of 232.61% from ₹102.43 million in Fiscal 2022 to ₹1,133.17 million in Fiscal 2024 and was ₹848.93 million in the nine months ended December 31, 2024

The equity shares are proposed to be listed on the stock exchanges being BSE Limited (the “BSE”) and National Stock Exchange of India Limited (the “NSE”, and together with the BSE, the “Stock Exchanges”).

SBI Capital Markets Limited, BNP Paribas , HSBC Securities & Capital Markets (India) Private Limited, JM Financial Limited and Motilal Oswal Investment Advisors Limited are the Book Running Lead Managers to the issue.