Latest news with #NivaBupaHealthInsurance
Time of India
3 days ago
- Business
- Time of India
Tax department probes over 20 insurers over breach of expense limits
The Income Tax Department is looking into over 20 insurance companies they to see if that have breached regulatory Expense of Management (EoM) limits over the past two fiscal years, according to people familiar with the development. The move could impact five to six life insurers and as many as 15 general insurers, including standalone firms such as Niva Bupa Health Insurance and GoDigit General Insurance. Explore courses from Top Institutes in Select a Course Category Data Analytics Data Science Healthcare healthcare Finance Operations Management Product Management Cybersecurity Others Public Policy PGDM Technology Project Management Management MBA Leadership Artificial Intelligence Digital Marketing CXO others Data Science Degree Design Thinking Skills you'll gain: Data Analysis & Visualization Predictive Analytics & Machine Learning Business Intelligence & Data-Driven Decision Making Analytics Strategy & Implementation Duration: 12 Weeks Indian School of Business Applied Business Analytics Starts on Jun 13, 2024 Get Details To be clear, no notices have been sent as yet. These insurance companies under the scanner either overshot their regulatory expense limits or failed to provide sufficient explanations for cost overruns. Notices are expected to land in the coming weeks, with tax implications likely if companies are unable to justify the expenditures post change in norms by IRDAI in April 2023, sources in the know added. The income tax scrutiny follows 2022 notices by the DGGI to around 20 general insurance companies operating in SEZs, alleging unpaid dues of ₹2,000 crore. Similarly, life insurers have been facing a huge tax battle with the GST authority for allegedly issuing invoices without rendering actual services, with the adjudicating authority concluding that transactions were not actual. HDFC Life , for instance, is facing ₹5,500 crore tax notice for 2017-2022. Similarly, others including ICICI Prudential Life have also allegedly routed excessive commission payments to corporate agents under the guise of advertising expenses through marketing vendors. Following these tax notices, IRDAI, in April 2023 removed product-specific commission caps, putting an overall cap on expenses. This led to a jump in commissions paid by life insurers by 22% year-on-year in FY24 to ₹51,524 crore, while those by general insurers nearly doubled to ₹39,600 crore, according to IRDAI's annual report. About half of those companies are yet to limit their EoMs to 30% or 35% that the regulator has stipulated. The regulator has asked for a clear roadmap every quarter in terms of what is their plan to achieve the numbers within that limit of 30% or 35%. Listed Niva Bupa had reported expense of management ratio of 37.4% for FY25, which is 190 basis points above the allowable expense ratio of 35.5% considering 35% and some allowances on insure tech. The company has given a glide path in achieving EOM norm. While Go Digit has been able to reduce expense ratio to 33.4% in FY25 against 36.3% in FY24, it is still above the regulatory requirement of 30%. "Now, IRDAI obviously would be very serious about this, and this is my personal opinion, that I would expect IRDAI to take some corrective actions on EOM so that they can actually achieve the objective of lower commissions," said Kamesh Goyal, founder Go Digit Insurance, during an investor call in May. "So, we are on the path of reducing EOM, and the reduction has been decent. But the industry's trend is otherwise, especially with 1/n, and a lot of companies would actually be seeing an increase in EOM, bigger or smaller ones both."
Time of India
16-07-2025
- Business
- Time of India
MFs' June Picks: 12 smallcap stocks rally up to 75% in just over a month
In June 2025, mutual funds significantly increased their investments in select smallcap stocks, with 183 companies experiencing substantial buying activity. While 126 stocks showed positive returns, Jaiprakash Power Ventures and Gabriel India led with impressive rallies of 75% and 65%, respectively. Niva Bupa Health Insurance saw the highest share acquisition, though its stock price declined. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads In June 2025, mutual funds pumped cash in several smallcap stocks . Many of these stocks not only saw a large number of shares being bought but also showed strong price spikes. According to data sourced from ACE Equity and ACE MF , some of the popular picks included Jaiprakash Power Ventures Anand Rathi Wealth , and VIP Industries We looked at smallcap stocks where mutual funds added more than 1 lakh shares in June compared to May. This analysis showed that 183 smallcap companies saw heavy buying from mutual of these, 126 stocks delivered positive returns since the beginning of June — showing overall strength in the smallcap segment. From this list, we further shortlisted 12 stocks that rallied more than 25% between June 1 to present day, indicating strong upward momentum and high confidence from fund Power Ventures led the pack with a stellar rally of 75%, followed closely by Gabriel India, which jumped 65% over the same of the end of June: Mutual funds held 2 crore shares of Jaiprakash Power Ventures across 29 schemes, worth around Rs 38 crore. For Gabriel India, 36 mutual fund schemes held 2.1 crore shares, valued at Rs 1,457 crore, showing stronger institutional in terms of the highest number of shares added by mutual funds in June, Niva Bupa Health Insurance Company topped the list. Around 45 MF schemes added over 10 crore shares, taking the total holding to 15 crore shares, valued at approximately Rs 1,225 crore. Despite this heavy institutional interest, the stock has underperformed, falling by around 2% since the start of data suggests mutual funds are actively positioning themselves in select smallcap names, particularly those showing early signs of momentum — although not all high-ownership plays have translated into immediate gains.
Economic Times
02-06-2025
- Business
- Economic Times
True North, Krishnan Ramachandran sell 10% stake in Niva Bupa Health for Rs 1,507 crore
Private equity firm True North and Niva Bupa Health Insurance chief Krishnan Ramachandran divested a combined 10 per cent stake in the health insurer for Rs 1,507 crore through open market transactions. ADVERTISEMENT Mumbai-based True North, through its special purpose vehicle Fettle Tone LLP, sold a total of 17.29 crore shares or 9.46 per cent stake in two tranches in Niva Bupa Health Insurance, as per the bulk deal data on BSE. In addition, Niva Bupa Health Insurance MD and CEO Ramachandran offloaded 1 crore shares, representing a 0.55 per cent stake in Gurugram-based Niva Bupa Health Insurance. The shares were sold in the price range of Rs 82.11-82.76 apiece, taking the combined transaction value to Rs 1,507.50 the transaction, Fettle Tone's shareholding in Niva Bupa dipped to 8.01 per cent from 17.47 per cent. Meanwhile, DSP Mutual Fund acquired more than 4.96 crore shares in four tranches or 2.72 per cent stake in Niva Bupa Health Insurance, and SBI Mutual Fund picked up 1.51 crore shares or 0.83 per cent stake in the health insurer. ADVERTISEMENT The shares were purchased at an average price of Rs 82 per piece, taking the aggregate deal value to Rs 531.49 of the other buyers of Niva Bupa Health Insurance's shares could not be ascertained on the BSE. ADVERTISEMENT Also, M Pallonji and Co Pvt Ltd bought more than 1.35 crore shares, amounting to a 0.74 per cent stake in Niva Bupa Health for Rs 113.83 crore, as per the bulk deal data on the National Stock Exchange (NSE).The shares were acquired at an average price of Rs 83.95 apiece. ADVERTISEMENT Details of the sellers of Niva Bupa Health's shares could not be identified on the NSE. Shares of Niva Bupa Health Insurance Company plunged 9.98 per cent to close at Rs 83.07 per piece on BSE, and it declined 9.90 per cent to Rs 83.15 apiece on NSE. PTI (You can now subscribe to our ETMarkets WhatsApp channel)
Time of India
02-06-2025
- Business
- Time of India
True North, Krishnan Ramachandran sell 10% stake in Niva Bupa Health for Rs 1,507 crore
Private equity firm True North and Niva Bupa Health Insurance chief Krishnan Ramachandran divested a combined 10 per cent stake in the health insurer for Rs 1,507 crore through open market transactions. Mumbai-based True North, through its special purpose vehicle Fettle Tone LLP, sold a total of 17.29 crore shares or 9.46 per cent stake in two tranches in Niva Bupa Health Insurance, as per the bulk deal data on BSE. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Neuropathy & Nerve Damage? Do This Immediately Health Journal Britain Learn More Undo In addition, Niva Bupa Health Insurance MD and CEO Ramachandran offloaded 1 crore shares, representing a 0.55 per cent stake in Gurugram-based Niva Bupa Health Insurance. Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. The shares were sold in the price range of Rs 82.11-82.76 apiece, taking the combined transaction value to Rs 1,507.50 crore. After the transaction, Fettle Tone's shareholding in Niva Bupa dipped to 8.01 per cent from 17.47 per cent. Live Events Meanwhile, DSP Mutual Fund acquired more than 4.96 crore shares in four tranches or 2.72 per cent stake in Niva Bupa Health Insurance, and SBI Mutual Fund picked up 1.51 crore shares or 0.83 per cent stake in the health insurer. The shares were purchased at an average price of Rs 82 per piece, taking the aggregate deal value to Rs 531.49 crore. Details of the other buyers of Niva Bupa Health Insurance's shares could not be ascertained on the BSE. Also, M Pallonji and Co Pvt Ltd bought more than 1.35 crore shares, amounting to a 0.74 per cent stake in Niva Bupa Health for Rs 113.83 crore, as per the bulk deal data on the National Stock Exchange (NSE). The shares were acquired at an average price of Rs 83.95 apiece. Details of the sellers of Niva Bupa Health's shares could not be identified on the NSE. Shares of Niva Bupa Health Insurance Company plunged 9.98 per cent to close at Rs 83.07 per piece on BSE, and it declined 9.90 per cent to Rs 83.15 apiece on NSE. PTI
Economic Times
02-06-2025
- Business
- Economic Times
Niva Bupa shares fall 11% as PE investor sells 12% stake in block deal
Shares of Niva Bupa Health Insurance slipped as much as 11.1% on Monday to Rs 82 on the BSE after a large block deal involving a 12% equity stake saw 56.3 lakh shares change hands, as per ETNOW. ADVERTISEMENT Ahead of the trade, on June 1, ET NOW reported, citing sources, that homegrown private equity firm True North and Niva Bupa's Managing Director and CEO, Krishnan Ramachandran, were set to offload a combined 132 million shares in the health insurer through a block deal. ETNOW had also reported that Fettle Tone LLP, an investment vehicle of True North, was expected to sell up to 122 million shares, or roughly 6.7% of Niva Bupa's equity. CEO Krishnan Ramachandran was likely to dilute 10 million shares, equating to around 0.5% of the company. The offer price was set at Rs 82 per share, pegging the total size of the transaction at around Rs 1,082 crore. Based on the latest shareholding pattern as of March-end, the company's promoter Bupa holds 55.98% stake, while True North holds 17.47% via Fettle Tone Bupa reported a 31.2% year-on-year rise in net profit for the March quarter, posting Rs 206 crore compared to Rs 157 crore in the same period last year. Gross premiums increased 18% to Rs 2,078.7 crore, while net premiums climbed 21% to Rs 1,672 the insurer's underwriting profit slipped 12.2% year-on-year to Rs 57.6 crore from Rs 65.6 crore. Operating profit also fell sharply by 43.1% to Rs 94.9 crore from Rs 166.8 crore in the year-ago period. Its solvency ratio stood steady at 3.03% on a sequential basis. ADVERTISEMENT Niva Bupa Health Insurance listed on Indian stock exchanges in November 2024, marking the first domestic listing of a pure-play global MNC health insurer backed by British firm Bupa. In September 2023, True North ceded control to Bupa by selling a 20% stake for approximately Rs 2,700 crore. Also read | Ircon International shares jump over 2% after winning Rs 1,068 crore EPC contract from railways (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times) ADVERTISEMENT (You can now subscribe to our ETMarkets WhatsApp channel)
