Virat Kohli-backed Go Digit among three IPOs approved by Sebi
Sebi has approved IPOs of three companies including that of new age insurance company Go Digit, which is backed by star cricketer Virat Kohli.
Digit's IPO has hit multiple hurdles over compliance issues, which delayed approval for the public offer. Sebi had returned the draft offer document twice as the regulator raised concerns over share issuance.
Go Digit, which operates in the general insurance sector and counts Canadian billionaire Prem Watsa's Fairfax Group and A91 Partners among its backers, refiled its IPO papers with Sebi in March last year, which the regulator has now approved.
The IPO comprises a fresh issue of shares worth Rs 1,250 crore ($152.1 million) and an offer for sale of 109.4 million shares, according to the draft prospectus.
The insurance firm plans to utilise the net proceeds towards augmenting its capital base and maintaining the solvency levels.
Go Digit has incurred an underwriting loss of Rs 1,917 crore and earned an investment income of Rs 746 crore between 2018 and 2022, implying a net operating loss of Rs 1,171 crore during this period.
The company in consultation with merchant bankers to the issue may consider a pre-IPO placement aggregating up to Rs 250 crore. If such placement is completed, the fresh issue size will be reduced.
ICICI Securities, Morgan Stanley India, Axis Capital, Edelweiss Financial Services, HDFC Bank, and IIFL Securities are the book-running lead managers for the IPO.
Bengaluru-based Denta Water and Infra Solutions Limited, a seasoned player in the field
