Virat Kohli-backed Go Digit may launch IPO next week; here are key details

Go Digit General Insurance is looking to launch its initial public offering (IPO) next week, likely on Wednesday, May 15, 2024, said a report from ET Now. The company price band of the issue will be declared on Friday, May 10 and the anchor book may open on Tuesday, May 14.
 

Backed by Prem Watsa’s Fairfax group, the new age insurance company may raise Rs 1,500 crore via its IPO which includes a fresh share sale of Rs 1,250 crore and an offer-for-sale (OFS) of up to 10.94 crore equity shares aggregating to up to Rs 250 crore by its promoters and existing shareholders of the company.
 

Go Digit General Insurance specializes in a diverse array of insurance products such as motor, health, travel, property, and marine insurance. The company had received the green signal from the capital markets watchdog Sebi in March 2024 to launch its initial stake sale after encountering multiple delays in the approval process.
 

With the intention of strengthening its capital reserves and ensuring financial stability, Go Digit intends to use the funds raised from its IPO. Market analysts are closely observing the progress of Go Digit's IPO, expecting considerable investor interest due to the company's strong performance and strategic foothold in the insurance industry.
 

Ace Indian cricketer Virat Kohli and his actress wife Anushka Sharma are also among the shareholders of the company, as per the DRHP. In February 2020, Virat Kohli invested Rs 2 crore in the company to buy 2,66,667 equity shares for Rs 75 apiece. Anushka, on the other hand, bought 66,667 equity shares at the same price, investing Rs 50 lakh in the company.
 

Go Digit may have some shares reserved for the eligible employees of the company. Of the net offer, 75 per cent of shares shall be reserved for the qualified institutional bidders, while 15 per cent shares shall be allocated towards non-institutional investors. Retail investors will have only 10 per cent shares in the net offer reserved for them.
 

ICICI Securities, Morgan Stanley India Company, Axis Capital, HDFC Bank, Edelweiss Financial Services and IIFL Securities are book running lead managers to Go Digit's IPO, while Link Intime India has been appointed as the registrar for the issue. Shares of the company shall be listed on both BSE and NSE.