InvestorQ : Can I have your quick view on the Star Health IPO that is opening on next Monday?
Mitali Bhutta made post

Can I have your quick view on the Star Health IPO that is opening on next Monday?

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2 weeks ago
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Star Health IPO opens on 29ths November and will be open for subscription till 01-December. Here is a gist of what you need to know about the IPO.

· Star Health, promoted in 2006, is focused on originating health insurance products. It is the health insurance space leader with a market share of 15.8% in India.

· Out of its total insurance portfolio, retail health account for 89.3% while group policies account for 10.3%. Rakesh Jhunjhunwala, an early backer of Star Health, holds 20%.

· The IPO is priced in the band of Rs.870 to 900. The issue includes 2.22 crore shares as fresh issue and 5.83 crore shares as offer for sale. The total issue size is Rs.7,249 crore.

· Post the issue, the promoter shareholding will come down from 66.22% to 58.42%, while the public shareholding will go up to 41.58% post the IPO.

· Star Health services customers via a network of 779 health insurance branches and network of over 11,778 empanelled hospitals.

· Star Health made profits in FY19 and FY20, but reported losses of Rs.826 crore in FY21, which was largely due to a spike in health insurance claims paid due to COVID-19.

The IPO is slated to list on the bourses on 10th December.

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