Building scale for an IPO in coming years, says CEO Anuj Mathur
Canara HSBC Oriental Bank of Commerce Life Insurance (CHOICE) expects at least 10 per cent of its new business to come via the digital channel in three years, a top official has said.
"We expect exponential growth in our digital business going forward. As on date the online channel accounts for less than 1 per cent. It is less than 1 per cent for all the players in the life insurance industry", Anuj Mathur, Chief Executive Officer, CHOICE told BusinessLine in an interview here.
He highlighted that it is the company's digital journey that has helped it reach customers in tier-2 and 3 cities in India.
Mathur also pointed out that smartphone penetration in the country is expected to grow exponentially and is estimated to touch 70 crore by 2020 from the current level of 30 crore.
CHOICE has for the financial year ended March 31, 2017, reported a net profit of Rs 111 crore, marginally lower than a net profit of Rs 126 crore in the previous fiscal.
"We have now recorded over Rs 100 crore net profit for three consecutive years", Mathur said.
Mathur also said CHOICE was planning an initial public offering, which would be a few years down the line.
"It's not in the immediate future.We want to scale up our business to that level where we can hit the market. We don't require additional capital for now," he said.