IPO Watch: Canara HSBC Life Insurance Files for Market Debut

IPOs 2025: Canara HSBC Life Insurance is all set to make its primary market debut as the company has filed draft papers for the Initial public offering (IPO).

The insurance firm manages assets worth over Rs 40,000 crore or $4.7 billion. As per a report by Reuters, the existing shareholders of the company are looking to sell their stake, however, the size of the public offering and the exact timing are yet to be decided. What is sure for now is that the insurance company will not be issuing any fresh shares.

Canara HSBC Life Insurance Company is a joint venture wherein Canara Bank owns a 51% stake in the firm, whereas the HSBC Group's HSBC Insurance Holdings owns a 26% stake in the same. As per the draft papers, the state-owned bank will sell around 137.75 million shares through the initial public offering. HSBC Insurance (Asia-Pacific) Holdings will be selling around 4.75 million shares.

Punjab National Bank, which holds the remaining 23% stake in the company, is planning to offload up to 95 million shares. On Tuesday, the shares of the banking firm were trading at Rs 102.30 price level, up by 0.13% on the National Stock Exchange.

Muted Activity in Primary Market

Last year witnessed several major companies making their debut in the primary market, including Unicommerce, FristCry and NTPC Green Energy. Big names like Swiggy, Ola Electric and Hyundai Motors India also made their market debuts in 2024. However, the trend has shifted now.

With stock markets reeling under pressure, the primary market has experienced limited action so far this year. Due to FII (Foreign institutional investors) outflow and muted Q3, markets witnessed a sharp correction a few months back. Macro tensions added fuel to the fire. However, the market movement is now shifting, with benchmark indices, Sensex and Nifty, gaining momentum again. So far this year, the BSE Sensex has stayed in positive territory, crossing the 80,000 mark once again.