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Go Digit General Insurance IPO subscribed 36 pc on Day 1 of offer

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NewsDrum Desk
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New Delhi, May 15 (PTI) The initial public offer of Go Digit General Insurance, a firm backed by Canada-based Fairfax Group, received 36 per cent subscription on the first day of bidding on Wednesday.

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The initial share sale received bids for 1,88,86,890 shares against 5,28,69,677 shares on offer, as per NSE data.

The portion for Retail Individual Investors (RIIs) got subscribed 1.44 times and that of non-institutional investors received 34 per cent subscription.

Go Digit General Insurance has raised a little over Rs 1,176 crore from anchor investors.

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The company's Rs 2,615-crore initial share sale will conclude on Friday. The price band for the offer has been fixed at Rs 258-272 per share.

Go Digit's proposed Initial Public Offer (IPO) has a fresh issuance of equity shares worth Rs 1,125 crore and an Offer-for-Sale (OFS) of 5.47 crore equity shares by promoter Go Digit Infoworks Services and existing shareholders worth Rs 1,490 crore. This takes the total IPO size to Rs 2,615 crore at the upper end of the price band.

At present, Go Digit Infoworks Services owns 83.3 per cent stake in the company.

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Proceeds from the fresh issuance have been proposed to be utilised for augmentation of the company's capital base and maintenance of solvency levels and general corporate purposes.

Cricketer Virat Kohli and his wife and actor Anushka Sharma are among the investors in the firm. They are not selling any stake in the IPO.

Go Digit offers motor insurance, health insurance, travel insurance, property insurance, marine insurance, liability insurance, and other insurance products to meet the needs of the customers.

It is one of the first non-life insurers in India to be fully operated on the cloud and has developed application programming interface (API) integrations with several channel partners.

ICICI Securities, Morgan Stanley India Company, Axis Capital, HDFC Bank, Nuvama Wealth Management and IIFL Securities are the book-running lead managers to the offer. PTI SUM SHW

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