Star Health Insurance IPO (Initial Public Offering) is going to open for subscription on 30 November 2021 and will be open for bidding till 2 December 2021. public issue price 7,249.18 crore will be listed on both NSE and BSE and the tentative date of listing of Rakesh Jhunjhunwala-backed IPO is 10 December 2021. However, it seems that a big name like Rakesh Jhunjhunwal is not working in favor of the company’s share price performance. gray market. According to market observers, the shares of Star Health Insurance have declined in the gray market ever since it became available for trading.
Here we list down the important Star Health Insurance IPO details:
– Star Health Insurance GMP: According to market experts, Star Health Insurance IPO GMP (Grey Market Premium) is today 30, which is 10 less than yesterday’s GMP 40. IPO of Star Health Insurance has come down below gray market premium in last three days 70 to 30 lost more than 50 percent in this period.
– Star Health Insurance Price Band: According to the red herring prospectus of the public issue, the price band for the IPO has been fixed as: 870 to 900 per equity share.
Star Health Insurance Subscription Date: As mentioned above, the IPO will become available for bidding from 30 November 2021 and will be available for subscription till 2 December 2021.
– Star Health Insurance IPO Allotment Date: The tentative date for allotment of shares is December 7, 2021.
– Size of Star Health Insurance IPO: The company aims to raise 7,249.18 crore from this public issue.
– Star Health Insurance IPO Lot Size: A bidder will be able to apply for public issue in lots and one lot of IPO will have 16 shares of the company. A single bidder can apply for a minimum of one lot for the IPO while a single bidder will be allowed a maximum of 13 lots.
– Star Health Insurance Investment Limit: Since a bidder is allowed to apply for a minimum of one lot and a maximum of 13 lots, the minimum amount required to invest in Star Health Insurance IPO is 14,400 ( 900 x 16) while the maximum investment is limited 1,87,200 [( ₹900 x 16) x 13],
– To Subscribe or not to Star Health Insurance IPO: Speaking on the fundamentals of Star Health Insurance Company; Abhay Doshi, Founder, UnlistedArena.com, said, “Star Health is the largest Standalone Health Insurance (SAHI) provider in the overall Indian health insurance market. From FY 2019 to FY 2021, their retail health GWP grew at a CAGR of 32.5 per cent , which is exceptional. Moreover, they have a market share of 31 per cent in the retail health segment. The Covid-19 pandemic has been a double-edged sword for health insurers, undoubtedly, it has raised awareness among people for health insurance which has been around for a long time. GWP will increase in time but for the short term due to covid-19, claims have increased exceptionally, causing losses to the company. On the financial front, at the upper band of Rs 900, it is worth a whopping 14.15 of its book value. and the company has incurred losses in FY 2011. The issue looks aggressively costly, which may keep the IPO out of the imagination.”
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint.
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