Niva Bupa shares tumble over 6% post listing, erasing gains. What investors should do

Shares of Niva Bupa Healthcare fell by 6.24% from their listing price to a low of Rs 73.60 on the BSE after the same debuted at a healthy premium of 6% over its upper price band of Rs 74, thereby erasing the listing gains for investors.

The shares of Niva Bupa were listed at Rs 78.5 on the BSE, a 6.1% premium over its issue price, and at Rs 78.1 on the NSE. This performance was slightly better than expected.

Driven by a robust demand from retail investors, the IPO of Niva Bupa Healthcare had managed to sail through on the last day of the bidding process.


Niva Bupa is the second standalone health insurer (SAHI) to eye the Indian bourses through IPO, after Star Health & Allied Insurance Company.

The IPO, which was moderately subscribed 1.9 times, reflected a cautious investor sentiment, potentially influenced by the company's recent negative quarterly earnings.

“While Niva Bupa has shown strong growth and a positive turnaround in recent years, the short-term performance concerns and the IPO's pricing seemed to have tempered investor enthusiasm,” said Shivani Nyati, Head of Wealth at Swastika Investmart.

“Investors who participated in the IPO can consider holding their shares, but should closely monitor the company's performance and the broader market conditions,” Nyati added.

However, for new investors it is advised that they may want to wait for a clearer picture of the company's future trajectory before investing.

Also read: HAL shares nosedive 28% from peak. Will it fall below Rs 4,000?

It is India’s third largest and second fastest growing SAHI based on an overall Health GDPI of Rs 5,494 crore in fiscal 2024, which grew at a CAGR of 41.37% from FY 2022 to 2024. It boasts a Gross Direct Written Premium (GDPI) of Rs 5,499.43 crore in fiscal 2024.

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