Canara HSBC Life Insurance Files IPO Papers, Plans Stake Sale

Canara HSBC Life Insurance Company, a joint venture between Canara Bank, HSBC Insurance (Asia-Pacific), and Punjab National Bank, has filed draft papers for an initial public offering (IPO) with SEBI. The IPO is a pure offer for sale (OFS) of up to 237.5 million shares, with Canara Bank, HSBC Insurance, and Punjab National Bank divesting portions of their stakes. As the issue is an OFS, the company itself will not receive any proceeds from the listing. The move comes amid a slowdown and increased volatility in the IPO market. In the fiscal year ending March 2024, Canara HSBC Life Insurance reported a 24.3% increase in profit after tax, although revenue was marginally lower by 1%. This IPO filing follows the recent submission of IPO papers by Canara Robeco Asset Management Company, another Canara Bank-backed entity.