The initial public offering (IPO) of Go Digit General Insurance witnessed significant interest from investors, with an overall subscription of over 9 times on the last day of its public issue. The IPO received bids for 50,76,21,455 shares against the offered 5,28,69,677 shares.
Notably, Indian cricketer Virat Kohli and Bollywood actor Anushka Sharma are shareholders in the company, having invested in it in February 2020. Kohli purchased 2,66,667 equity shares at Rs 75 per share, while Sharma acquired 66,667 equity shares at the same price. With the IPO's success, the celebrity couple is expected to see a substantial increase in their wealth, with returns of over 3.6 times.
As of May 17, 2024, the Grey Market Premium (GMP) for the Go Digit General Insurance IPO is Rs 9. Given the IPO's price band of Rs 272, the estimated listing price is Rs 281 (upper price band + current GMP), representing an expected gain of 3.31% per share.
Go Digit aims to raise a little over Rs 2,600 crore through its IPO, which was open for subscription from May 15 to May 17. The IPO is divided, with 75% reserved for qualified institutional bidders (QIBs), 15% for non-institutional investors, and 10% for retail investors.
The company achieved profitability in the financial year 2023-24, reporting a net profit of Rs 35.54 crore with a revenue of Rs 39.19 crore. For the nine months ending December 31, 2023, its net profit was Rs 129.02 crore with a revenue of Rs 130.83 crore.
Go Digit General Insurance's promoters include Prem Watsa's Fairfax Group, Kamesh Goyal, GoDigit Infoworks Services, and Oben Ventures LLP. The book running lead managers for the IPO are ICICI Securities, Morgan Stanley India Company, Axis Capital, Nuvama Wealth Management, HDFC Bank, and IIFL Securities, with Link Intime India serving as the registrar for the issue.
Shares of the company are set to be listed on both BSE and NSE, with a tentative listing date of Thursday, May 23.
