Canara HSBC Life IPO GMP: What Does Grey Market Premium Signal Ahead Of Oct. 10 Launch?

Canara HSBC Life Insurance Co. Ltd. is set to launch its initial public offering (IPO) on Oct. 10. Founded in 2007, Canara HSBC Life Insurance Company provides a variety of life insurance products, including term insurance, endowment plans, among other things.

As the subscription date nears, here’s a look at the grey market premium (GMP) and other important details about the Canara HSBC Life IPO.

According to Investorgain, the Canara HSBC Life IPO GMP is Rs 10 as of 9:30 a.m. on Oct. 9. With a price band cap of Rs 106, the estimated listing price is Rs 116. This suggests an expected gain of 9.43% per share. Investors are eyeing modest listing gains if the GMP trend holds.

Note: GMP does not represent official data and is based on speculation.

Canara HSBC Life Insurance Co. Ltd. IPO is a Rs 2,517.50 crore book-built issue. It is an offer for sale of 23.75 crore shares. The price band is Rs 100 to Rs 106 per share. One lot includes 140 shares. 

Retail investors need Rs 14,840 to apply at the upper price band. sNII investors must apply for 1,960 shares (Rs 2,07,760). bNII investors must apply for 9,520 shares (Rs 10,09,120). SBI Capital Markets Ltd. is the lead manager. Kfin Technologies Ltd. is the registrar for this IPO.

Canara HSBC Life IPO is set to open for subscription on Oct. 10 and will close on Oct. 14. The allotment of shares is expected on Oct.15, with the tentative listing date set for Oct. 17 on the BSE and NSE.

Canara HSBC Life Insurance was formed as a joint venture among Canara Bank, HSBC Insurance and Punjab National Bank. It offers term plans, ULIPs, endowment, and retirement solutions, among other products. The company uses its partner banks’ branch networks to reach customers across India.

With this IPO, Canara HSBC Life aims to carry out the 'Offer for Sale' of up to 23.75 crore equity shares of Rs 10 face value each by the selling shareholders, amounting to Rs 2,517.50 crore. The company also aims to gain the benefits of listing its equity shares on the stock exchanges.

For the period ended March 31, 2025, Canara HSBC Life Insurance reported a total income of Rs 234.01 crore, compared to Rs 240.88 crore in the previous year. Profit after tax rose to Rs 116.98 crore, slightly up from Rs 113.32 crore in FY24. Ebitda also increased to Rs 149.91 crore from Rs 146.56 crore a year earlier.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.