PNB sells 10% stake in Canara HSBC Life Insurance, raises over ₹1,000 crore

Punjab National Bank (PNB) has divested 10% of its stake in Canara HSBC Life Insurance Company Limited, reducing its shareholding from 23% to 13%, the lender said in a regulatory filing on Wednesday.

The

divestment was executed through an offer for sale (OFS) during Canara HSBC Life’s initial public offering, which opened earlier this month.

PNB raised around ₹1,007 crore by selling 9.5 crore shares at ₹106 per share, according to details enclosed in the bank’s filing.

The buyers were members of the public, and the transaction does not qualify as a related-party transaction, the bank clarified. The OFS took place on October 17, 2025, coinciding with the insurer’s market debut.

Shares of Canara HSBC Life Insurance listed flat at ₹106 on both the NSE and BSE, matching the issue price, after the IPO was subscribed 2.3 times—driven by strong institutional demand. The company’s listing followed Canara Robeco’s modest debut earlier in the week.

PNB’s move aligns with its broader strategy to optimise capital and unlock value in non-core investments, while maintaining strategic exposure to key associates in the financial services ecosystem.

The bank, which recently reported a 14% year-on-year rise in net profit to ₹4,904 crore for the September quarter, continues to benefit from steady business growth, improved asset quality, and robust digital adoption.