Niva Bupa Health Insurance IPO opens tomorrow: Price band & GMP among 10 things to know before subscribing to the issue

Niva Bupa Health Insurance Company's initial public offering (IPO) will open for public bidding on Thursday, November 7, and will close on Monday, November 11. The healthcare insurer has fixed the price band at ₹70-74 per share. 

The health insurance company, set up in 2008, is a joint venture between the Bupa Group and Fettle Tone LLP which provides customer access to a comprehensive health ecosystem and service capabilities through its Niva Bupa Health mobile application and website.

Niva Bupa Health Insurance IPO — 10 things to know as an investor
 

1. Niva Bupa Health Insurance IPO Issue Size: The Delhi-based health insurer aims to raise ₹2,200 crore comprising an Offer-for-sale (OFS) of 18.92 crore shares worth ₹1,400 crore and a fresh issue of 10.81 crore shares for ₹800 crore.

2. Niva Bupa Health Insurance IPO Dates: The initial public offering will open for public subscription on Thursday, November 7, and will close on Monday, November 11.

3. Niva Bupa Health Insurance IPO Price Band: The company has set its price band for the public issue in the range of ₹70 to ₹74 per share, with a lot size of 200 shares per lot. 

4. Niva Bupa Health Insurance IPO Listing Date: The public issue is expected to be listed on Thursday, November 14, on the BSE and NSE indexes.

5. Niva Bupa Health Insurance IPO Anchor Round: The company held a round for its anchor investors subscribing to the public issue on Wednesday, November 6. The exchange will release the data later on Wednesday.

6. Niva Bupa Health Insurance IPO Sellers: Bupa Singapore Holdings Pte. Ltd and Fettle Tone LLP are the two promoters selling their shareholding as the company lists itself on Dalal Street.

Bupa Singapore Holdings Pte. Ltd is selling its 34.88 per cent stake, and Fettle Tone LLP is selling a 15.57 per cent stake in the health insurer.

7. Niva Bupa Health Insurance IPO Reservation: Out of the total offer, not less than 75 per cent will be allocated to the Qualified Institutional Buyers (QIB) segment, followed by not less than 15 per cent to Non-Institutional Investors (NII) segment and 10 per cent to the retail investors, as per the RHP data. 

8. Niva Bupa Health Insurance IPO Proceeds: The health insurer aims to use the money raised from the IPO to augment its capital base and for general corporate purposes. 

9. Niva Bupa Health Insurance IPO GMP: As of November 6, the grey market premium (GMP) for the IPO is zero. The shares at the upper limit of the price band are expected to list at ₹74 per share, according to Investorgain.com.

Grey market premium is the willingness of an investor to pay more for a public issue.

10. Niva Bupa Health Insurance IPO's Merchant Banker and Registrar: ICICI Securities Limited, Morgan Stanley India Company Pvt Ltd, Kotak Mahindra Capital Company Limited, Axis Capital Limited, Hdfc Bank Limited, and Motilal Oswal Investment Advisors Limited are the book runners for the public issue, while Kfin Technologies Limited is the registrar.