India's PB Fintech gains as clarity on healthcare venture eases capital allocation concerns

PB Fintech

01/10/2024 08:43

** Shares of online insurance services provider PB Fintech
 PBFI.NS  rise about 5% to 1,700 rupees
    ** Jefferies and CLSA say co's clarification on new
healthcare initiatives eases concerns around capital allocation
    ** PBFI says it is planning a one-time investment of $100
mln for 20%-35% stake in a new healthcare venture
    ** PBFI's liability will be limited to the initial
investment, says Jefferies
    ** New venture can help company's earnings and long-term
growth, it says
    ** CLSA says clarification reduces market concerns around
misallocation of capital
    ** The mean rating of 16 analysts tracking PBFI is
equivalent to "hold"; median price target is 1,435 rupees
    ** PBFI shares up 115% so far this year, outperforming 30.4%
rise in mid-cap index  .NIFMDCP100 

 (Reporting by Bharath Rajeswaran in Bengaluru)
 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))