GMP shows upbeat mood for Canara HSBC Life IPO; here's all you need to know

Canara HSBC Life IPO opens today: Check price band, lot size, GMP, reviews, key dates, and other details here

HSBC Life Insurance IPO opens for subscription:  The initial public offering (IPO) of private sector life insurer Canara HSBC Life Insurance Company opens for public subscription today, with grey market trends indicating a favourable investor sentiment ahead of the launch. Sources tracking unofficial market activities have revealed that Canara HSBC Life’s unlisted shares were trading at a premium (grey market premium, GMP) of 9.43 per cent over the upper price band of ₹106 per share ahead of the launch of the public offering for subscription.

 

The insurer aims to raise ₹2,517 crore through a pure offer-for-sale (OFS) of equity shares. Ahead of the issue opening, the company mobilised ₹750 crore from anchor investors, reflecting strong institutional interest.

 

 

The anchor book attracted several marquee investors including ICICI Prudential Mutual Fund, HDFC Mutual Fund, DSP Mutual Fund, WhiteOak Capital, Mirae Asset Mutual Fund, Allianz Global Investors Fund, Amundi Funds, Matthews India Fund, Tata Mutual Fund, Motilal Oswal Mutual Fund, and Société Générale.

 

As the issue opens for subscription today, here are the key details of Canara HSBC Life IPO that investors should be aware of before subscribing to issue:

Canara HSBC Life IPO issue size

The public issue comprises an entire offer for sale (OFS) of 237.5 million equity shares worth ₹2,517.50 crore. The insurer has reserved not more than 50 per cent of the offer for qualified institutional buyers (QIBs), not less than 15 per cent for non-institutional investors, and not less than 35 per cent for retail buyers.

Canara HSBC Life IPO price band, lot size

Canara HSBC Life IPO is being offered at a price band of ₹100–₹106 per share, with a minimum lot size of 140 shares. Therefore, investors can bid for a minimum of 140 shares and in multiples thereof.

 

A retail investor would need ₹14,840 to bid for a minimum of one lot of 140 equity shares of Canara HSBC Life IPO. To bid for a maximum of 13 lots or 1,820 shares, a retail investor would need ₹1,92,920, taking the upper price band into consideration.  Check LG Electronics IPO Allotment Status

Should you subscribe to Canara HSBC Life IPO? Check review

Market analysts have also shared favourable views and have broadly recommended investors to subscribe to Canara HSBC Life IPO for a long-term perspective.

 

Analysts at Arihant Capital have assigned a Subscribe for long-term rating on the offering. “At the upper band of ₹106, the issue is valued at a P/EV of 1.65x, based on an Embedded Value of ₹64.32 per share. We are recommending a ‘Subscribe for long-term’ rating for this issue,” write the analysts at Arihant Capital.

 

Those at Kunvarji Wealth Solutions have also recommended subscribing to the issue with a long-term perspective, citing the company's strong parentage of Canara Bank and HSBC, and solid fundamentals, including growing VNB and a consistently high claim settlement ratio. The company's diverse product mix and multi-channel distribution network support sustained growth, the brokerage said.

Canara HSBC Life IPO timeline

The maiden share sale of the insurer is set to remain available for subscription until October 14, 2025. Following that, the basis of allotment of Canara HSBC Life IPO shares is expected to be finalised on October 15. Successful allottees will receive the company's shares into their demat accounts tentatively by October 16.

 

Canara HSBC Life’s shares are tentatively slated to list on BSE and NSE on October 17, 2025.  Check TATA Capital IPO Allotment Status

Canara HSBC Life IPO objective

Canara HSBC Life, as outlined in its Red Herring Prospectus (RHP), will not receive any proceeds from the public offering and it will be given to promoters and investors selling their shares through the OFS.

 

“Our Company will not receive any proceeds from the offer and all the Offer Proceeds will be received by the selling shareholders after deduction of offer-related expenses and relevant taxes thereon, to be borne by the Selling Shareholders,” said the company in its Red Herring Prospectus (RHP).

Canara HSBC Life IPO registrar, lead managers

KFin Technologies serves as the registrar for the public offering of the insurance company.

 

SBI Capital Markets, BNP Paribas, HSBC Securities and Capital Markets (India), JM Financial, and Motilal Oswal Investment Advisors are the book running lead managers.

About Canara HSBC Life

Canara HSBC Life Insurance is one of India's largest private life insurance companies, sponsored by Canara Bank and HSBC Insurance Asia-Pacific. Bancassurance remains the company's primary distribution channel, accounting for 92.33 per cent of new business premium during Q1FY26. It has distribution agreements with Canara Bank, HSBC India, seven regional rural banks, and other bancassurance relationships.