Canara HSBC Life Insurance IPO Opens October 10: Price Band Set At Rs 100–106 per Share

New Delhi, October 7, 2025: Canara HSBC Life Insurance Company Ltd has announced that its ₹2,516 crore initial public offering (IPO) will open for subscription on 10 October and close on 14 October, with a price band set between ₹100 and ₹106 per share. At the upper end of the range, the issue values the insurer at approximately ₹10,000 crore. Anchor investors will be allowed to place their bids on 9 October, ahead of the public issue opening. The company’s shares are scheduled to list on the stock exchanges on 17 October 2025.

Founded in 2007, Canara HSBC Life Insurance is a joint venture that includes Canara Bank (51%), HSBC Insurance (Asia-Pacific) Holdings (26%), and Punjab National Bank (23%). The company has established a visible market presence in the private life insurance industry by leveraging its partner banks’ vast branch networks and customer base to achieve consistent growth.

Canara HSBC Life Insurance IPO Structure and Offer for Sale

The entire ₹2,516 crore initial public offering (IPO) of Canara HSBC Life Insurance Company Ltd comprises an Offer for Sale (OFS) of 23.75 crore equity shares by its existing shareholders, with no fresh issue of shares involved. All proceeds from the IPO will go directly to the selling shareholders — Canara Bank, HSBC Insurance (Asia-Pacific) Holdings Ltd, and Punjab National Bank (PNB).

Under the OFS, Canara Bank will divest 13.77 crore shares, HSBC Insurance (Asia-Pacific) will sell 47.5 lakh shares, and Punjab National Bank will offload 9.5 crore shares, thereby partially reducing their stakes in the life insurer.

Canara HSBC Life Insurance IPO Investor Allocation Structure and Bidding Details Announced

The Canara HSBC Life Insurance Company Ltd IPO has allocated 50% of the issue to Qualified Institutional Buyers (QIBs), 35% to retail investors, and the remaining 15% to Non-Institutional Investors (NIIs). The minimum bid size is fixed at 140 equity shares, with subsequent bids to be placed in multiples of 140 shares.

This structured allocation aims to ensure balanced participation across investor categories, offering opportunities for both institutional and retail investors to participate in the insurer’s public offering.

Market Outlook

The Canara HSBC Life IPO aligns with a wider trend among financial institutions, reducing their equity holdings in subsidiaries to unlock value and enhance capital efficiency. The move follows similar developments across the Banking, Financial Services, and Insurance (BFSI) sector, where divestments and public listings are gaining traction. Notably, Canara Robeco Asset Management Company is also preparing to launch its IPO, underscoring the sector’s buoyant outlook. The Canara HSBC Life offering reflects robust investor appetite for India’s expanding financial services space, driven by stable banking parentage and growing retail participation in insurance and asset management segments.

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