Niva Bupa Health Insurance Raises Rs 990 Crore From Anchor Investors Prior To IPO Launch

Niva Bupa Health Insurance Raises Rs 990 Crore From Anchor Investors Prior To IPO Launch

Niva Bupa Health Insurance Company has raised Rs 989.99 crore from anchor investors on Wednesday, ahead of its initial public offering. The company allotted 13.37 crore shares at Rs 74 apiece to 32 anchor investors.

Amansa Holdings Pvt. got the highest allocation of 12.63%. A91 Emerging Fund II LLP got the second highest allotment of 11.62%, while both Zulia Investments Pte. and Nippon Life India Trustee Ltd. A/C Nippon India Multi Cap Fund got 10.10% stake in the company.

Six domestic mutual funds have applied through eight schemes, the insurance firm said in an exchange filing on Wednesday. They have collectively netted 27.78% of the anchor portion.

Nippon Life India Trustee, Axis Mutual Fund Trustee Ltd., Tata, and Motilal Oswal were among the top fund houses in this category.

ICICI Securities Ltd., Axis Capital Ltd., Kotak Mahindra Capital Company Ltd., HDFC Bank Ltd., Motilal Oswal Investment Advisors Ltd., and Morgan Stanley India Company Pvt. are the book-running lead managers to the issue.

The company will launch its initial public offering on Thursday to raise up to Rs 2,200 crore. The company has set a price band of Rs 70-74 per share for its three-day IPO. The IPO will consist of a fresh issue of shares worth Rs 800 crore and an offer for sale of up to Rs 1,400 crore. The minimum application lot size is 200 shares.

The offer, which concludes on Monday, is set to list on the BSE and the National Stock Exchange.

The company will use the proceeds to augment the company's capital base to strengthen solvency levels and for general corporate purposes.

Niva Bupa Health Insurance, formerly known as Max Bupa Health Insurance Co., is a joint venture between Fettle Tone LLP—a special purpose vehicle of True North Fund VI LLP—and UK-based healthcare services expert Bupa.