Canara Bank

MUMBAI, Sept 16 (Reuters) - India's Canara Bank CNBK.NS accepted bids worth 20.42 billion rupees ($212.80 million) in a sale of perpetual bonds, three bankers said on Wednesday.

The state-run lender will pay a coupon of 8.10% and had invited commitment bids from bankers and investors earlier in the day, they said.

Canara Bank did not reply to a Reuters email seeking comment.

Here is the list of deals reported so far on September 16:

*Size includes base plus greenshoe for some issues

($1 = 95.9600 Indian rupees)

(Reporting by Khushi Malhotra; Editing by Eileen Soreng)

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Sept 15 (Reuters) - Canara Bank Ltd CNBK.NS:

• RBI GRANTS PERMISSION TO EXERCISE CALL OPTION ON 15 BILLION RUPEES BASSEL III AT1 BONDS

Further company coverage: CNBK.NS

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MUMBAI, Sept 11 (Reuters) - India's Canara Bank CNBK.NS plans to raise 45 billion rupees ($470.17 million), which includes a greenshoe option of 25 billion rupees through the sale of perpetual bonds, three bankers said on Friday.

The state-run lender has invited coupon and commitment bids from bankers and investors on Wednesday, they said.

The lender did not reply to a Reuters email seeking comment.

Here is the list of deals reported so far on September 11:

*Size includes base plus greenshoe for some issues

($1 = 95.7100 Indian rupees)

(Reporting by Dharamraj Dhutia and Khushi Malhotra; Editing by Janane Venkatraman)

(([email protected]))

By Dharamraj Dhutia

MUMBAI, Sept 10 (Reuters) - India's Canara Bank CNBK.NS is set to become the second lender in this financial year to tap the Basel III-compliant additional Tier I perpetual bond route, after the nation's largest bank raised such funds in July, three bankers said on Thursday.

Here are a few details:

• The state-run bank plans to raise up to 45 billion rupees ($473.19 million) through perpetual bonds, the bankers said, requesting anonymity because they are not authorized to speak to the media.

• The state-run bank will eye a base size of 20 billion rupees, with a greenshoe option to retain an additional 25 billion rupees.

• Canara Bank did not reply to a Reuters request for comment.

• The issuer is likely to complete the fundraising before the end of September.

• The issue will have a call option at the end of five years.

• In July, State Bank of India had raised 46.91 billion rupees through the sale of perpetual bonds, with a call option at the end of five years.

• Late last year, Canara Bank had raised 35 billion rupees from a similar instrument at a 7.55% coupon.

• Canara Bank has a call option on perpetual bonds worth 40 billion rupees before the end of this year.

($1 = 95.1000 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Rashmi Aich)

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Sept 8 (Reuters) - Reliance Communications Ltd RLCM.NS:

• LETTER RECEIVED BY RELIANCE TELECOM FROM CANARA BANK

• RELIANCE COMMUNICATIONS - BANK ON AUGUST 31 CONCLUDED THERE ARE SUFFICIENT GROUNDS FOR CLASSIFICATION OF RELIANCE TELECOM AS A “WILFUL DEFAULTER”

Source text: [ID:]

Further company coverage: RLCM.NS

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By Dharamraj Dhutia

MUMBAI, Sept 7 (Reuters) - Two Indian state-run lenders, Canara Bank CNBK.NS and Bank of Maharashtra BMBK.NS, are set to raise $500 million each through the sale of U.S. dollar-denominated bonds over the next few days, two merchant bankers said on Monday.

Both the lenders will look to raise funds through a sale of three-year or five-year papers, or a combination of both, under the central bank's concessional swap window, which lowers the cost of hedging the risk of unfavourable currency moves, the bankers added.

The bankers requested anonymity as the matter is still private, while neither of the lenders responded to a Reuters request for comment.

Though this would be Bank of Maharashtra's debut issue, this would Canara Bank's second issuance this year, and both the debt sales are expected to be completed in September, the bankers said.

Fitch Ratings has assigned Bank of Maharashtra's $500 million medium-term note (MTN) programme a 'BBB-minus' rating and the bank will use the net proceeds of the notes to meet the funding requirements of its head office in India, foreign offices and general corporate purposes.

In July, Canara Bank raised $200 million via private placement under the central bank's concessional swap window, at a spread of 87 basis points over the corresponding U.S. Treasury yields, and this was its first such issuance since September 2024.

Last week, the board of Canara Bank approved raising up to $2 billion through sale of foreign currency bonds.

Indian lenders have already raised $13 billion through dollar bonds so far in 2026, of which $12.15 billion were raised in June to August, after the Reserve Bank of India announced the concessional swap window.

State Bank of India SBI.NS , Bank of Baroda BOB.NS and Union Bank of India UNBK.NS are the other lenders that have tapped dollar debt market in 2026.

(Reporting by Dharamraj Dhutia; Editing by Jochelle Mendonca)

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Canara Bank's board approved raising up to USD 2 billion through senior unsecured foreign-currency bonds in international markets. The bonds could be fixed-rate or floating-rate and would be issued under the bank's existing USD 3 billion Medium Term Note programme through its IBU Gift City branch or another overseas branch. Canara Bank's CRAR stood at 17.17% and CET1 at 12.91% at the end of June 2026. Domestic advances grew 17.97% year on year in the June quarter.

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Sept 3 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK - APPROVED RAISING OF FOREIGN CURRENCY FUNDS VIA ISSUANCE OF FOREIGN CURRENCY BONDS

• CANARA BANK - APPROVED RAISING OF FOREIGN CURRENCY FUNDS UPTO USD 2 BILLION

• CANARA BANK - APPROVED RAISING OF FOREIGN CURRENCY FUNDS UNDER EXISTING MTN PROGRAMME VIA IBU GIFT CITY BRANCH

Source text: [ID:]

Further company coverage: CNBK.NS

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By Dharamraj Dhutia and Khushi Malhotra

MUMBAI, Aug 17 (Reuters) - Indian lenders are rushing dollar loan and bond issues over the next two weeks after the central bank unexpectedly advanced the end date for an FX swap facility that banks were using for hedging exposure to deposits raised from diaspora.

As part of a raft of measures to boost inflows, lenders were permitted to use these overseas borrowings to offer loans to non-resident Indians. Banks' overseas fundraising had also been subsidised.

Now, with the Reserve Bank of India announcing the closure of the forex swap window for August 31, a month earlier than initially planned, Indian private and state-run banks are on track to raise at least $5 billion through a combination of bonds and loans, four bankers said.

"Some of the fund raising plans have been brought forward to utilize the last few days," Akshay Naik, India head of debt capital markets at Citi, said.

"We will have one of the busiest windows for the next 6-8 days from India. Few institutions who are not ready may need to drop their plan if it was solely meant for FCNR leverage."

Large private-sector lenders such as ICICI Bank ICBK.NS and HDFC Bank HDBK.NS are in talks to raise about $1.5 billion each via dollar bonds and loans, while peers including Axis Bank AXBK.NS, YES Bank YESB.NS, RBL Bank RATB.NS and Kotak Mahindra Bank KTKM.NS are planning to raise at least $500 million each through overseas debt markets, bankers said.

State-run lenders State Bank of India SBI.NS, Bank of Baroda BOB.NS, Punjab National Bank PNBK.NS, Canara Bank CNBK.NS, Union Bank of India UNBK.NS, Bank of India BOI.NS and Central Bank of India CBI.NS are targeting dollar raises of $250 million to $500 million each, with the larger banks likely to target bigger issues, the bankers said.

None of the lenders replied to Reuters emails seeking comment.

All the bankers declined to be named as the discussions are private.

BANKS ON TRACK FOR RECORD DOLLAR FUNDRAISING

Indian lenders have raised a combined $5.93 billion through dollar bond sales and loans so far this year, according to LSEG data through August 11.

The tally has climbed by another $1.2 billion, following debt sales by two large state-run lenders last week.

Over the last 15 years, banks' annual foreign borrowing topped $6 billion on three occasions, including in 2013, when the RBI had opened a swap window.

"Would expect $5-7 billion of additional bond and loan issuances for the remainder of year," Naik said.

(Reporting by Dharamraj Dhutia and Khushi Malhotra; Editing by Mrigank Dhaniwala)

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Aug 11 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK - ONE YEAR MCLR RAISED TO 8.80% FROM 8.75% FROM AUG 12

Source text: ID:nBSE3h8pdS

Further company coverage: CNBK.NS

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Aug 10 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK - RBI IMPOSED MONETARY PENALTY OF 149,450 RUPEES

• CANARA BANK - PENALTY OVER CC REMITTANCE SHORTAGE, MUTILATED NOTES IN CC REMITTANCE

Source text: ID:nBSE7n7Z4T

Further company coverage: CNBK.NS

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By Dharamraj Dhutia

MUMBAI, July 31 (Reuters) - Strong demand for India's largest state-run lender's perpetual bond issue is expected to encourage similar offerings from other banks, four merchant bankers said on Friday.

Several banks also have outstanding perpetual bonds with call options due this financial year, which could prompt them to raise fresh perpetual debt, they said.

Perpetual bonds are debt securities that do not have a maturity date. Most such issues give investors an exit via call options, most commonly after end of five years.

Earlier this week, State Bank of India SBI.NS raised 46.91 billion rupees ($492 million), through sale of Basel III compliant additional Tier I perpetual bonds, with a call option at end of five years.

"A successful SBI issuance could provide an important pricing benchmark and encourage other banks to evaluate AT-1 issuances during the year," said Saurav Ghosh, co-founder of Jiraaf, an online debt trading platform.

Banks are likely to continue strengthening their capital buffers to support credit growth and balance-sheet expansion, he said.

SBI will pay an annual coupon of 7.75% to the investors and drew bids worth over 60 billion rupees with provident funds, pension funds, mutual funds and some lenders subscribing to the securities.

"SBI's cut-off broadly reflects prevailing market expectations and indicates that institutional demand remained resilient across investor segments despite heightened market volatility," said Venkatakrishnan Srinivasan, founder and managing partner of debt advisory firm Rockfort Fincap.

Five large state-run banks including SBI have call option due for perpetual bonds worth 307 billion rupees over the next eight months of this fiscal.

SBI has 140 billion rupees in bonds due for a call option, while Union Bank of India and Canara Bank will offer an exit to investors on debt worth 60 billion rupees and 40 billion rupees respectively.

Punjab National Bank and Bank of Baroda also have perpetual bonds worth an aggregate of around 67 billion rupees, for which the call options are due later this year.

($1 = 95.4350 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Nivedita Bhattacharjee)

(([email protected];))

July 27 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK- Q1 NIM AT 2.52%

Source text: ID:nnAZN4TA3CI

Further company coverage: CNBK.NS

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BENGALURU, July 27 (Reuters) - Diary of India economic, corporate events on July 27

ECONOMIC, CORPORATE .BSE500 EVENTS:

NTS - 'No time scheduled'

(Compiled by Bengaluru Newsroom)

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July 1 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK - PROVISIONAL DOMESTIC DEPOSITS AS OF JUNE END UP 10.06% Y/Y

• CANARA BANK - PROVISIONAL DOMESTIC ADVANCES AS OF JUNE END UP 16.93% Y/Y

Source text: [ID:]

Further company coverage: CNBK.NS

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By Dharamraj Dhutia

MUMBAI, June 29 (Reuters) - Some Indian banks could see stronger interest margins in the July-September quarter as the central bank's measures boost rupee liquidity and reduce the cost of borrowing for funds that mature within a year, four bankers said.

Certificates of deposit (CDs), which banks use to raise funds for up to one year, have seen rates plunge by up to 60 basis points over the past three weeks.

The Financial Benchmarks India Ltd three-month CD reference rate fell to 6.65% last Friday from 7.25% on June 4.

The Reserve Bank of India's moves to attract foreign currency inflows are expected to bring in billions of dollars, boosting liquidity, lowering funding costs and reducing reliance on CDs, a relatively expensive source of funding.

State-run Canara Bank, among the biggest issuers of CDs, expects the measures to help it refinance existing liabilities at much cheaper rates, said MD & CEO Brajesh Kumar Singh.

"It will help our net interest margins," said Singh.

At its June 5 policy, the RBI said it will bear hedging costs for non-resident foreign currency deposits of 3- to 5-year maturities raised by banks through September 30.

"The (RBI) measures strengthen the ability to mobilise stable, longer-tenor deposits," said Ajay Kumar Srivastava, MD & CEO at Indian Overseas Bank.

MORE ROOM TO FALL

Abhishek Bisen, head of fixed income at Kotak Mutual Fund, believes that CD rates could fall further.

"Current CD yields continue to price in a significant degree of monetary tightening and have room to ease," said Bisen.

The spread between the three-month treasury bill yield and a CD of similar maturity issued by state-run lenders was at 140 bps on Thursday, down from a six-year high of more than 200 bps three months ago.

"Over the next three months, we see the spread normalising towards 100 bps, driven by lower CD issuance requirements," Bisen added.

(Reporting by Dharamraj Dhutia; Editing by Harikrishnan Nair)

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June 10 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK - MAINTAINS ONE YEAR MCLR UNCHANGED

Source text: ID:nBSE9D9z8R

Further company coverage: CNBK.NS

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June 2 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK - BOARD APPROVES CAPITAL RAISING PLAN UP TO 85 BILLION RUPEES FOR FY2026-27

• CANARA BANK - CAPITAL RAISING PLAN BY WAY OF DEBT INSTRUMENTS

• CANARA BANK - APPROVES RAISING UP TO 40 BILLION RUPEES VIA BASEL III TIER II BONDS IN FY2026-27

• CANARA BANK - APPROVES RAISING UP TO 45 BILLION RUPEES VIA BASEL III ADDITIONAL TIER I BONDS IN FY2026-27

Source text: ID:nBSE29PKWt

Further company coverage: CNBK.NS

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June 1 (Reuters) - Canara Bank Ltd CNBK.NS:

• GOVERNMENT APPOINTS BRAJESH KUMAR SINGH AS MD CEO

Further company coverage: CNBK.NS

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By Nikunj Ohri

NEW DELHI, May 18 (Reuters) - India's finance ministry directed state-run banks, insurers and financial institutions on Monday to implement cost-cutting measures, including sharp curbs on travel and a phased transition to electric vehicles, according to an order reviewed by Reuters.

The order, part of a broader austerity push, will cover institutions like the State Bank of India SBI.NS, Bank of Baroda BOB.NS and Life Insurance Corp of India LIFI.NS and million of their employees across the country.

Under the new measures, all meetings, reviews and consultations must be conducted via video conferencing unless physical presence is deemed essential, the order issued by the Department of Financial Services said.

Foreign travel by top executives of the organisations - including chairpersons, managing directors and chief executive officers - should be kept below prescribed limits, with overseas engagements to be attended virtually wherever possible, it said.

Separately, the government has asked the organisations to accelerate adoption of electric vehicles.

"All organisations may aim at replacing the petrol and diesel vehicles hired by them in their head offices and branch offices by electric cars as far as possible," the order said.

The move follows a call last week by Prime Minister Narendra Modi urging officials to follow austerity and exercise restraint in spending, as the government braces for the economic fallout from rising global tensions.

Prolonged Middle East conflict risks slowing growth, stoking inflation and straining the balance of payments, with the Indian rupee already at record lows as Asia's worst performer this year.

Several Indian states have directed employees to work from home two days a week as part of cost-cutting efforts.

(Reporting by Nikunj Ohri; Editing by Raju Gopalakrishnan)

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May 11 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK Q4 NET PROFIT 45.06 BILLION RUPEES

• CANARA BANK Q4 GROSS NPA 1.84%

• CANARA BANK Q4 INTEREST EARNED 318.38 BILLION RUPEES

• CANARA BANK Q4 PROVISIONS AND CONTINGENCIES 9.92 BILLION RUPEES

• CANARA BANK Q4 PROVISIONS FOR NPA 13.12 BILLION RUPEES

• CANARA BANK - RECOMMENDS DIVIDEND OF 4.20 RUPEES PER SHARE FOR FY 2025-26

Further company coverage: CNBK.NS

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Updates throughout

April 2 (Reuters) - India's bank stocks dropped to their lowest levels in nearly a year on concerns over potential losses after the central bank intensified its crackdown on speculative activity in the rupee.

The Nifty Bank index .NSEBANK slid as much as 2.8% to 50,004.30 points - its lowest level since April 9, 2025 - with all constituents trading lower.

The index has fallen 4.3% this week following the Reserve Bank of India's curbs, underperforming the benchmark Nifty 50 .NSEI, which is down 2.6%.

On Wednesday, the RBI barred banks from offering rupee non-deliverable forwards to resident and non-resident clients, days after it put a limit of $100 million on banks' net open rupee positions.

Jefferies said banks were hoping to mitigate losses stemming from the initial measures by transferring or selling part of their positions to corporates, hedge funds and other clients.

The fresh curbs may bring the losses back to original estimates or a tad higher at 40 billion rupees to 50 billion rupees ($428.05 million-$535.07 million), the brokerage said.

The RBI's measures come as the rupee INR=IN has hit a string of all-time lows on worries over spillovers from the Iran war. The currency fell 4.24% in March, its worst monthly drop in six years, before the latest curbs helped it rise 1.4% to 93.53 per U.S. dollar in early trade on Thursday.

Private lenders HDFC Bank HDBK.NS and ICICI Bank ICBK.NS dropped 1.4% each on Thursday, while state-run banks logged sharper losses. State Bank of India SBI.NS was down 2.9%, while Punjab National Bank PNBK.NS, Canara Bank CNBK.NS and Union Bank of India UNBK.NS lost 3.4%, 3.6% and 3.9%, respectively.

Jefferies expects banks to book part of their losses in the January-March and April-June quarters, and said foreign lenders account for 45% of the currency derivatives market and related losses, while private banks have a 40% share.

($1 = 93.4460 Indian rupees)

(Reporting by Vivek Kumar M in Bengaluru and Ashwin Manikandan in Mumbai; Editing by Sonia Cheema)

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March 11 (Reuters) - Canara Bank Ltd CNBK.NS:

• ONE YEAR MCLR UNCHANGED, WEF MARCH 12

Further company coverage: CNBK.NS

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Feb 27 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK - ISSUE OF BASEL III COMPLIANT TIER II BONDS, SERIES I FOR 50 BILLION RUPEES

Further company coverage: CNBK.NS

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MUMBAI, Feb 26 (Reuters) - India's Canara Bank CNBK.NS has accepted bids worth 50 billion rupees ($550.3 million) for Basel III compliant tier II bonds maturing in 10 years, three merchant bankers said on Thursday.

The state-run lender will pay an annual coupon of 7.24% and had invited coupon and commitment bids from bankers and investors earlier in the day, they said.

The bonds have a call option at the end of five years.

The lender did not immediately reply to a Reuters email seeking comment.

Here is the list of deals reported so far on February 26:

*Size includes base plus greenshoe for some issues

($1 = 90.8570 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Sumana Nandy)

(([email protected]))

MUMBAI, Feb 24 (Reuters) - India's Canara Bank CNBK.NS plans to raise 50 billion rupees ($549.5 million), including a greenshoe option of 30 billion rupees, through sale of Basel III compliant tier II bonds maturing in 10 years, three merchant bankers said on Tuesday.

The state-run lender has invited coupon and commitment bids from bankers and investors on Thursday, they said.

The bonds have a call option at the end of five years.

The lender did not immediately reply to a Reuters email seeking comment.

Here is the list of deals reported so far on February 24:

*Size includes base plus greenshoe for some issues

($1 = 90.9930 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Sumana Nandy)

(([email protected]))

Jan 29 (Reuters) - Canara Bank Ltd CNBK.NS:

• CANARA BANK Q3 NET PROFIT 51.55 BILLION RUPEES

• CANARA BANK Q3 GROSS NPA 2.08%

• CANARA BANK Q3 INTEREST EARNED 319.82 BILLION RUPEES

• CANARA BANK Q3 PROVISIONS AND CONTINGENCIES 24.14 BILLION RUPEES

• CANARA BANK Q3 PROVISIONS FOR NPA 16.5 BILLION RUPEES

Source text: [ID:]

Further company coverage: CNBK.NS

(([email protected];))

Dec 31 (Reuters) - Canara Bank Ltd CNBK.NS:

• COMPLETION OF TENURE OF K. SATYANARAYANA RAJU AS MD, CEO

Source text: ID:nNSE5KxRk3

Further company coverage: CNBK.NS

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By Dharamraj Dhutia and Khushi Malhotra

MUMBAI, Nov 7 (Reuters) - Aggressive pricing on bonds issued by India's largest lender is spurring state-run peers to plan similar debt issuances worth around $1 billion in the coming weeks, four merchant bankers told Reuters on Friday.

Punjab National Bank PNBK.NS , Canara Bank CNBK.NS , Bank of India BOI.NS , Indian Bank INBA.NS , and Indian Overseas Bank IOBK.NS intend to collectively raise about 90 billion rupees ($1.01 billion) through Basel III-compliant Tier II bonds by the end of the year, according to the bankers, who spoke on condition of anonymity as they are not authorized to speak to the media.

None of the state-run lenders responded to Reuters' emails seeking comment.

Three weeks ago, State Bank of India SBI.NS raised 75 billion rupees through 10-year Tier II bonds at a coupon rate of 6.93%, only 30 basis points above the annualized 10-year government bond yield.

That issuance highlighted the potential for lenders to improve their regulatorily mandated capital adequacy ratios at a relatively low cost.

Investor demand for Tier II bonds from public sector banks is expected to remain robust because "in volatile equity markets, fixed income instruments like bonds become relatively more attractive," said Vineet Agrawal, co-founder of online trading platform Jiraaf.

"New issuances, when priced right before expected rate cuts, could lock in higher yields today, making these deals even more appealing," he added.

Some lenders may opt for issuances with a five-year call option to diversify the investor base and appeal to asset managers, bankers said.

"With the rate cut cycle nearing its end, investors are likely to favor spread assets and corporate bonds. Tier II bonds with a 5-year call option offer attractive yields and duration flexibility, making them well-positioned for strong subscription," said Abhishek Bisen, head of fixed income at Kotak Mahindra Mutual Fund.

Indian Bank and Indian Overseas Bank aim to raise 10 billion rupees each, while Bank of India plans to secure around 30 billion rupees. Punjab National Bank and Canara Bank are targeting 20 billion rupees apiece, they said.

Maturing Tier II bonds are also driving the issuances. Bank of India has bonds worth 30 billion rupees due in December, while Canara Bank faces maturities of 22.50 billion rupees and Indian Bank has a 10 billion rupee maturity scheduled for the same month.

($1 = 88.6950 Indian rupees)

(Reporting by Dharamraj Dhutia and Khushi Malhotra; Editing by Ronojoy Mazumdar)

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Updates stock price in paragraph 2, adds details throughout

By Vivek Kumar M

Oct 17 (Reuters) - India's Canara HSBC Life Insurance CANR.NS made a muted debut on the bourses on Friday, as unappealing pricing and a crowded IPO market clouded the insurer's prospects.

Its stock was trading at 108.9 rupees, as of 10:50 a.m. IST, up 2.7% from its issue and listing price of 106 rupees, yielding the insurer a valuation of 105.15 billion rupees ($1.20 billion).

Peers SBI Life Insurance SBIL.NS and HDFC Life Insurance HDFL.NS are valued around $21 billion and $18 billion, respectively.

Canara HSBC Life Insurance, which is a joint venture between Canara Bank and HSBC Insurance (Asia-Pacific) Holdings, struggled to garner bids from retail and non-institutional investors earlier this week.

Retail investors subscribed 42% of their quota, while high-net-worth individuals subscribed a third of their shares in the $283 million IPO.

Thanks to qualified institutional buyers, the issue was subscribed 2.29 times, which was still lower than most other IPOs that opened in the last couple of weeks.

For instance, another Canara Bank-promoted entity, Canara Robeco Asset Management CANE.NS, received bids worth nearly 10-fold and closed 13% higher in its debut on Thursday.

Choice Broking said the insurer's valuation appeared to be fully priced, with price-to-enterprise value multiple, a stock valuation metric, of 1.6x, while industry averaged 2.4x.

"High dependence on bancassurance (where banks sell insurance) and relatively lower VNB (value of new business) margins compared to peers is expected to keep valuation multiples at a discount to peers," ICICI Direct said.

The insurer got 87% of its new business premium in fiscal year 2024-25 through bancassurance, with Canara Bank contributing 70.6% of this.

The listing caps a busy week for the Indian IPO market, which saw five stock debuts, including a blockbuster listing from LG Electronics India LGEL.NS and a muted start from the country's largest IPO of the year, Tata Capital TATC.NS. ($1 = 87.8387 Indian rupees)

(Reporting by Vivek Kumar M; Editing by Sumana Nandy and Harikrishnan Nair)

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