Sebi keeps Virat Kohli-backed Go Digit IPO in abeyance
Premium- Go Digit is looking to launch an IPO consisting of a fresh issue worth ₹1,250 crore and an offer for sale (OFS) of up to 109,445,561 equity shares.
Market regulator Sebi keeps cricketer Virat Kohli-backed Go Digit General Insurance IPO in 'abeyance'. Go Digit filed for a draft prospectus for its initial public offering (IPO) last month. The IPO comprises a fresh issue of ₹1,250 crore and an offer for sale (OFS) of more than 10.94 crore equity shares by selling shareholders. However, Sebi did not give any further clarity on the IPO in its latest processing status of draft offer documents.
Sebi's latest processing status of draft offer documents was released on September 16.
Under the status report, Sebi assigned 'issuance of observations kept in abeyance' on Go Digit IPO. No further information was disclosed.
Generally, Sebi issues observations on draft offer documents filed within 30 days. An 'abeyance' status does not mean that the IPO is rejected. As per the latest guidelines issued in February 2020, Sebi is obligated to keep the issuance of observations in abeyance for 30 days or 45 days, or 90 days or more, as the case may be.
For Go Digit's IPO, the co-ordinating lead manager is ICICI Securities.
As per the draft prospectus filed on August 17, Go Digit is looking to launch an IPO consisting of a fresh issue worth ₹1,250 crore and an offer for sale (OFS) of up to 109,445,561 equity shares. Under OFS, the selling shareholders are --- Go Digit Infoworks Services, Nikita Mihir Vakharia jointly with Mihir Atul Vakharia, Nikunj Hirendra Shah jointly with Sohag Hirendra Shah, and Subramaniam Vasudevan jointly with Shanti Subramaniam.
The face value of equity shares to be offered under the IPO is ₹10 per share.
ICICI Securities, Morgan Stanley, Axis Capital, Edelweiss Financial Services, HDFC Bank, and IIFL Securities are the book running lead managers (BRLM) of the IPO.
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Go Digit plans to utilise the net proceeds of the IPO for augmenting its capital base and maintenance solvency levels. However, the proceeds from the offer for sale will directly go to the selling shareholders mentioned above.
Apart from cricketer Virat Kohli, his wife Anushka Sharma, and also Canada-based Fairfax Group are some of the company's investors.
Go Digit aims to make insurance simple. Through innovation and transparency, the insurer believes in delivering a seamless customer experience journey in a significant financial product an individual would purchase in their lifetime.
The company is one of the leading digital full-stack insurance companies, offering motor insurance, health insurance, travel insurance, property insurance, marine insurance, liability insurance, and other insurance products.
Go Digit has an established track record of delivering growth. Its GWP was ₹52.68 billion, ₹32.43 billion, and ₹22.52 billion in Fiscals 2022, 2021, and 2020, representing a CAGR of 52.9% from Fiscal 2020 to Fiscal 2022.
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