Go Digit General Insurance, a prominent insurtech startup, is set to launch its IPO on May 15, with anchor investors bidding on May 14. Notably, celebrity investors Virat Kohli and Anushka Sharma have also invested in this venture.
The IPO comes with a price band of Rs 258-272 per share, aiming to raise approximately Rs 2615 crore. Let’s explore the details of this significant IPO and the key stakeholders involved.
Key IPO Details
The IPO will offer 4.14 crore new shares worth Rs 1,125 crore, alongside an offer for sale (OFS) of 5.48 crore shares worth Rs 1,489.65 crore. Notably, the IPO will not include shares from Virat Kohli and Anushka Sharma, as they are among the company’s investors.
The proceeds from the new shares will be utilized to enhance the company’s capital base, maintain solvency margins, and for general corporate purposes.
Investment Landscape
Go Digit General Insurance has attracted investments from notable entities, including Canadian billionaire Prem Vats’s Fairfax Group. FAL Corporation, a subsidiary of Fairfax Financial Holdings, holds a significant stake in Go Digit’s parent company.
Founder Kamesh Goyal and Oben Ventures LLP are also key stakeholders in the company.
Allocation Breakdown
In the IPO, 75 percent of shares are reserved for qualified institutional buyers, 10 percent for retail investors, and 15 percent for non-institutional investors. This IPO received approval from SEBI in March 2024, marking a significant milestone for Go Digit, which was founded in 2016.
The company, also known as Digit General Insurance, offers a range of general insurance products, including health, car, travel, property, mobile, and jewelry insurance.
Financial Performance
During the period of April-December 2023, Go Digit reported revenue of Rs 130.83 crore, with a net profit of Rs 129 crore.
With a valuation exceeding 1 billion dollars, the IPO presents an opportunity for investors to participate in the growth story of Go Digit General Insurance, backed by its robust financial performance and strategic investments.
