Canara HSBC Life Insurance Company has filed for an initial public offering (IPO), according to draft papers released on Tuesday. The company’s existing shareholders plan to sell their stakes through the listing.
The insurance firm is a joint venture between India’s state-owned Canara Bank, which owns 51% of the company, and HSBC Group’s HSBC Insurance (Asia Pacific) Holdings, which holds 26%. Punjab National Bank holds the remaining 23% stake.
IPO Details
Canara Bank plans to sell up to 137.75 million shares through the listing, while HSBC Insurance (Asia-Pacific) Holdings will sell up to 4.75 million shares. Punjab National Bank intends to sell up to 95 million shares.
The company, which manages over 400 billion rupees ($4.7 billion) in assets, did not disclose the size or timing of the IPO. It also stated that it will not issue fresh shares during the listing.
Financial Performance
Canara HSBC Life Insurance reported a profit after tax of 1.13 billion rupees for the fiscal year ending March 2024, representing a 24.3% increase from the previous year. However, revenue was marginally lower by 1% over the same period. The company has yet to report its results for fiscal 2025.
Market Context
The IPO filing comes amid rising global market volatility driven by fluctuations in U.S. tariff policies, which is causing companies to reassess their IPO ambitions to avoid weak demand or failed listings. Despite this, India was the world’s second-largest market by IPO proceeds in 2024, with listings down nearly 15% this year, according to data compiled by LSEG.
This is the second IPO filing by a Canara Bank-backed company recently, following last week’s filing by Canara Robeco Asset Management Company.
