Incorporated in 2006, Star Health and Allied Insurance Company Ltd is one of the largest private health insurers in India with a market share of 15.8% in Fiscal 2021. The company primarily focuses on the retail health market segment. It offers a range of flexible and comprehensive coverage options for retail health, group health, personal accident, and overseas travel, accounting for 87.9%, 10.5%, 1.6%, and 0.01%, respectively, of the total GWP in Fiscal 2021.
The company mainly distributes policies through individual agents and also includes corporate agent banks and other corporate agents. As of March 31, 2021, its network distribution includes 737 health insurance branches across 26 states and 4 union territories in India. Star Health has also built one of the largest health insurance hospital networks in India with more than 10,870 hospitals.
Competitive strengths
- Largest private health insurance company in India with leadership in the attractive retail health segment.
- Largest network distribution in the health insurance industry.
- Diversified product suite with a focus on innovation and specialized products.
- Strong risk management with superior claims ratio and quality customer services.
- Demonstrated track record of operating and financial performance.
Company Promoters:
Safecrop Investments India LLP, Westbridge AIF I and Rakesh Jhunjhunwala are the company promoters.
Company Financials:
| Particulars | For the year/period ended (₹ in Millions) | ||||
|---|---|---|---|---|---|
| 30-Sep-21 | 30-Sep-20 | 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | |
| Total Assets | 49,749.42 | 21,008.88 | 44,665.72 | 18,967.69 | 16,426.35 |
| Total Revenue | – 4,946.80 | 3,343.05 | – 9,077.76 | 4,619.61 | 2,262.54 |
| Profit After Tax | – 3,802.69 | 1,992.87 | – 8,255.81 | 2,680.02 | 1,282.26 |
Objects of the Issue:
The IPO aims to utilize the net proceed to augment the company’s capital base and insolvency level.
Star Health IPO Details
| IPO Opening Date | Nov 30, 2021 |
| IPO Closing Date | Dec 2, 2021 |
| Issue Type | Book Built Issue IPO |
| Face Value | ₹10 per equity share |
| IPO Price | ₹870 to ₹900 per equity share |
| Market Lot | 16 Shares |
| Min Order Quantity | 16 Shares |
| Listing At | BSE, NSE |
| Issue Size | [.] Eq Shares of ₹10 (aggregating up to ₹7,249.18 Cr) |
| Fresh Issue | [.] Eq Shares of ₹10 (aggregating up to ₹2,000.00 Cr) |
| Offer for Sale | 58,324,225 Eq Shares of ₹10 (aggregating up to ₹5,249.18 Cr) |
| Employee Discount | 80 |
Star Health IPO Tentative Timetable
The Star Health IPO open date is Nov 30, 2021, and the close date is Dec 2, 2021. The issue may list on Dec 10, 2021.
| IPO Open Date | Nov 30, 2021 |
| IPO Close Date | Dec 2, 2021 |
| Basis of Allotment Date | Dec 7, 2021 |
| Initiation of Refunds | Dec 8, 2021 |
| Credit of Shares to Demat Account | Dec 9, 2021 |
| IPO Listing Date | Dec 10, 2021 |
Star Health IPO Lot Size
The Star Health IPO market lot size is 16 shares. A retail-individual investor can apply for up to 13 lots (208 shares or ₹187,200).
| Application | Lots | Shares | Amount (Cut-off) |
|---|---|---|---|
| Minimum | 1 | 16 | ₹14,400 |
| Maximum | 13 | 208 | ₹187,200 |
Star Health IPO Promoter Holding
| Pre Issue Share Holding | 66.22% |
| Post Issue Share Holding | 58.42% |
source :Star Health IPO Date, Price, GMP, Review, Details (chittorgarh.com)