Star Health Insurance IPO: The Star Health IPO is likely to announce its share allotment on December 7, which is Tuesday. The Rakesh Jhunjhunwala-backed insurance firm, Star Health and Allied Insurance Company, floated its maiden initial public offering last week. However, the offer did not receive a great response from investors given its high value. The issue was subscribed only 79 per cent as employees and high net worth individuals (HNI) stayed away from the offer. The offer failed to interest bidders despite its backing from ace investor Rakesh Jhunjhunwala, ‘subscribe’ rating from brokerages, the company’s dominant presence in an unexplored sector and a robust growth prospect.
The Star Health IPO drew bids for 35.6 million shares against 44.9 million shares offered. Qualified Institutional Buyers booked only 1.3 times the portion reserved for them. This was a close escape because as per regulations, the QIB category has to be subscribed at least 90 per cent. The retail buyers category was subscribed 1.1 times. However, non institutional buyers and employees subscribed only 19 per cent and 10 per cent of the portion set aside for them.
This pushed the Star Health IPO to reduce the offer for sale part worth Rs 4,400 crore. The company had looked to mop up Rs 7,249 crore through its maiden public offer at the upper end of the price band. The price band was fixed at Rs 870 to Rs 900 per equity share. Star Health had earlier revealed that it had raised a little over Rs 3,217 crore from anchor investors ahead of opening the issue for the public.
At the grey market on Monday, the shares of Star Health were trading at a discount of Rs 75, according to reports. This was about 8 per cent down from the upper end of the price band. The low Star Health IPO GMP indicated that the listing at NSE and BSE later this month will not fetch a healthy return.
Investors who had bid for the issue would want to check their share allotment status on Tuesday, December 7, via the BSE website and the registrar KFintech’s website. Here is how they can check them.
How to Check Star Health IPO Share Allotment Status via BSE Website
Step 1: Go to the official BSE website via the URL https://www.bseindia.com/investors/appli_check.aspx
Step 2: It will take you to a page called ‘Status of Issue Application’. There you need to select the ‘Equity’ option.
Step 3: Select ‘Star Health and Allied Insurance Company Limited’ from the drop-down menu that is beside the issue name.
Step 4: Input your application number and the Permanent Account Number (PAN).
Step 5: Then you just click the ‘I am not a Robot’ to verify yourself and click ‘Search’. This will show you the status of the application.
How to Check Star Health IPO Allotment Status via the Registrar’s Website (KFintech Private Limited)
Step 1: Go to the KFin Tech Pvt Ltd website via the URL https://ris.kfintech.com/ipostatus/
Step 2: From here, you will have to select one of the five available servers
Step 3: Select the name of the IPO via the dropdown menu, that is, Star Health and Allied Insurance Company Limited. The name will only be populated when the share allotment process is finalised
Step 4: You need to select either one of the three modes: Application number, DPID/ Client ID or PAN ID
Step 5: Enter the details of the mode you selected in Step ‘4’
Step 6: Click on the search option
Step 7: Your allotment status will be visible after this