Canara HSBC Life Insurance IPO 2025 – All You Need to Know Before Investing
Canara HSBC Life Insurance Company Ltd is a joint venture among Canara Bank, HSBC Insurance (Asia-Pacific) Holdings Ltd, and Punjab National Bank.
The insurer provides a broad portfolio of life insurance products — individual and group policies, ULIPs, and term insurance.
IPO Highlights: Key Dates & Information
| Item | Detail |
|---|---|
| Type of Issue | 100% Offer for Sale (OFS) – existing shareholders offloading their stake |
| Issue Size | ₹2,517.50 crore |
| Shares Offered | 23.75 crore equity shares |
| Price Band | ₹100 – ₹106 per share |
| Face Value | ₹10 per share |
| Lot Size (Retail) | 140 shares per lot |
| Minimum Investment | ₹14,840 (at upper band) |
| Open Date | October 10, 2025 |
| Close Date | October 14, 2025 |
| Allotment Date | October 15, 2025 |
| Listing Date (Tentative) | October 17, 2025 |
| Stock Exchange | BSE & NSE |
| Employee Discount | ₹10 per share |
Canara HSBC Life Insurance – Financial Highlights
- Gross Written Premium (GWP): ₹8,027 crore in FY25 (↑12.6% YoY)
- Profit After Tax (PAT): ₹117 crore in FY25 (up from ₹91 crore in FY23)
- AUM (Assets Under Management): ₹43,639 crore as of June 2025
- Solvency Ratio: 200.42% (much more than 150% requirement)
- Persistency Ratio: 82.54% (13th-month)
- Product Range: 20 individual, 7 group products, and optional riders
Canara HSBC Life Insurance IPO – Risks & Considerations
- The IPO is an issue of the entire OFS, hence the company will not get any fresh capital.
- Excessive reliance on bancassurance channels (Canara Bank & PNB).
- Lower VNB margins than listed peers (HDFC Life, SBI Life).
- Long-term profitability may be affected by market performance of life insurance products.
Growth Highlights & Competitive Advantages
- Strong parentage by Canara Bank & HSBC assures reach & credibility of distribution.
- Consistent growth in AUM and persistency ratio.
- Enhanced profitability and capital adequacy.
- Reach in both urban & semi-urban markets through banking joint ventures.
Investment Outlook
Canara HSBC Life Insurance IPO provides access to rapidly growing Indian life insurance market.
Although valuation seems reasonable, investors need to bear in mind that proceeds won’t be used directly to finance business expansion because of its OFS structure.
Ideal for long-term investors seeking stable, regulated exposure to the financial sector.
IPO Timeline & Key Dates
| Event | Date |
|---|---|
| IPO Opens | October 10, 2025 |
| IPO Closes | October 14, 2025 |
| Allotment | October 15, 2025 |
| Refunds / Credit to Demat | October 16, 2025 |
| Listing on NSE/BSE | October 17, 2025 |