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UK’s Bupa to increase stake in Max Bupa to 49% from 26%

Private health insurer Max Bupa is a joint venture between Max India, which owns 74 percent of Max Bupa, and Bupa, the UK-headquartered global healthcare group, which has 26 percent stake.

The News International Team

Becoming one of the first companies in India to benefit from the proposed increased limit for FDI in insurance, Bupa, the international healthcare group, on Monday announced to hike its stake in Max Bupa from 26 percent to 49 percent.

Private health insurer Max Bupa is a joint venture between Max India , which owns 74 percent of Max Bupa, and Bupa, the UK-headquartered global healthcare group, which has 26 percent stake.

Bupa will submit formal applications to the relevant authorities for the regulatory approvals required in order to increase its stake.

Commenting on the decision, David Fletcher, Managing Director of International Development Markets at Bupa said: “It underlines Bupa’s commitment to Indian health insurance market and represents a major milestone in the development of Max Bupa. With our partners Max India, we are committed to supporting Max Bupa’s growth and helping Indian consumers live healthier and more successful lives.”

Rahul Khosla, Managing Director, Max India Limited, Bupa’s JV partner, welcomed the decision. “Max Bupa has established its brand, developed a wide retail customer base and grown its share in the attractive health insurance market. As Max Bupa prepares itself for its next wave of growth, it will stand to benefit from Bupa’s expertise in areas such as under-writing health risks and product innovation. Bupa’s intention to increase its stake is testimony to the huge opportunity for health insurance in India and Max India’s reputation in successfully managing joint ventures.”

Max India stock price

On January 05, 2015, at 13:25 hrs Max India was quoting at Rs 395.50, up Rs 7.80, or 2.01 percent. The 52-week high of the share was Rs 442.70 and the 52-week low was Rs 177.60.


The company’s trailing 12-month (TTM) EPS was at Rs 5.70 per share as per the quarter ended September 2014. The stock’s price-to-earnings (P/E) ratio was 69.39. The latest book value of the company is Rs 119.57 per share. At current value, the price-to-book value of the company is 3.31.

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