Business description from prospectus – HDFC Standard Life Insurance is the most profitable life insurer, based on Value of New Business (VNB) margin, among the top five private life insurers in India (measured on total new business premium) in Fiscal 2016 and Fiscal 2017.
Besides consistently being among the top three private life insurers in terms of profitability based on VNB margin, it has also consistently been among the top three private life insurers in terms of market share based on total new business premium between Fiscal 2015 and Fiscal 2017, according to CRISIL. Between Fiscal 2015 and Fiscal 2017, its annualised premium equivalent grew by a CAGR of 14.5%.
Its 13th month individual persistency ratio was 73.3%, 78.9%, 80.9% and 81.5% for the period ended March 31, 2015, March 31, 2016, March 31, 2017 and June 30, 2017, respectively.
The company has a healthy balance sheet with total net worth of INR41.5 billion and a solvency ratio of 197.5% as at June 30, 2017, above the minimum 150.0% solvency ratio required under IRDAI regulations. HDFC Standard Life insurance generated Profit After Tax of INR8,869.2 million and delivered a Return on Equity of 25.6%, Return on Invested Capital of 40.7% and Operating Return on Embedded Value of 21.7% during Fiscal 2017.
HDFC Standard Life Insurance IPO Review By Anil Singhvi
As at June 30, 2017, it had total AUM of INR947.5 billion and Indian Embedded Value of INR132.2 billion.
The company had 58,147 individual agents as at June 30, 2017, which comprise 6.1% of the all private agents in the Indian life insurance industry.
It has a pan-India presence, comprising 414 branches and spokes across India as at June 30, 2017, supported by a workforce of 15,406 full-time employees.
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Its number of major bancassurance partners grew from 31 as at March 31, 2015 to 120 as at June 30, 2017.
Promoters of HDFC Standard Life Insurance – Housing Development Finance Corporation Limited, Standard Life (Mauritius Holdings) 2006 Limited, and Standard Life Aberdeen Plc
|HDFC Standard Life Insurance IPO details|
|Subscription Dates||7 – 9 November 2017|
|Price Band||INR275 – 290 per share|
|Offer For Sale||299,827,818 shares (INR8,245.26 – 8,695 crore)|
|Total IPO size||299,827,818 shares (INR8,245.26 – 8,695 crore)|
|Minimum bid (lot size)||50 shares|
|Face Value||INR10 per share|
|Listing On||NSE, BSE|
|HDFC Standard Life’s financial performance (in INR crore)|
|Profit after tax||447.7||725.3||785.5||818.4||892.1||316.4|
HDFC Standard Life Insurance Company
12th, 13th, and 14th Floor, Lodha Excelus
Apollo Mills Compound, N.M.
Mahalaxmi, Mumbai – 400 011
Phone: +91 22 6751 6666
Fax: +91 22 6751 6861
Karvy Computershare Private Limited
Karvy Selenium Tower B, Plot 31-32,
Hyderabad – 500 032, Telangana
Phone: +91 40 6716 2222
Fax: +91 40 2343 1551
Earnings Per Share (EPS): INR4.4
Price/Earnings (P/E) ratio: 62.50 – 65.91
Return on Net Worth (RONW): 25.6%
Net Asset Value (NAV): INR19.1 per share
HDFC Standard Life IPO Subscription Details
of times, at 5 PM)
|Day 1||Day 2|
HDFC Standard Life IPO allotment status is now available on Karvy Computershare’s website.
Click on this linkto get allotment status.
IPO Opening Date: 7 November 2017
IPO Closing Date: 9 November 2017
Finalisation of Basis of Allotment: 14 November 2017
Initiation of refunds: 15 November 2017
Transfer of shares to demat accounts: 16 November 2017
Listing Date: 17 November 2017
Listing Price on NSE: INR310 per share (up 6.9% from IPO price)
Closing Price on NSE: INR343.9 per share (up 18.6% from IPO price)