Go Digit General Insurance Raises Rs 1,176.59 crore from Anchor Investors Before IPO

In a significant move, Go Digit General Insurance Limited announced on Tuesday that it had successfully secured Rs 1,176.59 crore from anchor investors, marking a significant milestone for the Bengaluru-based insurance startup. This move comes ahead of the company’s much-anticipated initial public offering (IPO), which is set to open for public subscription on Wednesday.

Strong Investor Interest

The company revealed in a statement that it had allocated over 43 million (43,257,009) equity shares at Rs 272 per share to anchor investors. This robust response from investors underscores the confidence and optimism surrounding Go Digit General Insurance Limited’s future prospects.

Domestic Mutual Fund Participation

Notably, 11 domestic mutual funds participated in the anchor allocation, collectively securing 33.51% of the total anchor book size.

Diverse Investor Portfolio

Among the anchor investors, the American multinational Fidelity Investments-backed fund (Fidelity Funds- India Focused Fund) received the largest allocation at 7.95%. Other prominent investors in the pre-IPO round fundraising include Goldman Sachs Funds (5.31%), Abu Dhabi Investment Authority (5.31%), Custody Bank of Japan (4.25%), and Bay Pond Partners (4.11%). This diverse portfolio of investors speaks volumes about the global appeal and attractiveness of Go Digit General Insurance Limited’s offering.

IPO Details

The Go Digit General Insurance IPO is set to be listed on both the BSE and NSE. Investors can participate in the IPO, which is scheduled to remain open for three days, closing on Friday, May 17, 2024. The offer comprises a mix of fresh issues totaling Rs 1,125 crore and an offer for sale of up to 54.77 million equity shares by promoters and other selling shareholders.

Price Band

Investors eyeing a stake in Go Digit General Insurance Limited can do so within a price band of Rs 258 to Rs 272 per equity share. This pricing strategy aims to ensure accessibility and attractiveness for a wide range of investors, further bolstering the company’s market position.

Go Digit General Insurance Limited’s successful fundraising from anchor investors sets a promising tone for its upcoming IPO. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.