Digit IPO Subscribed 9.6 Times
On May 17, Go Digit General Insurance, an Insurtech unicorn, witnessed a subscription of 9.6 times for its public issue on the final bidding day. Data from the BSE revealed bids for 50.76 crore shares against the 5.28 crore shares offered.
Digit’s IPO attracted significant interest from qualified institutional buyers (QIBs), with their portion oversubscribed 12.56 times. QIBs bid for 36.22 crore shares against the reserved 2.88 crore shares.
Interest from non-institutional investors (NIIs) surged on the last day of the IPO, with their quota oversubscribed 7.25 times. NIIs bid for 10.43 crore shares against the allotted 1.44 crore shares. Retail individual investors (RIIs) subscribed at a rate of 4.27 times, bidding for 4.10 crore shares compared to the 96.12 lakh shares available.
Following the IPO’s conclusion, the company’s shares will be listed on both the BSE and the NSE.
The startup is set to raise INR 2,614.6 crore through the public offer, with the upper price band set at INR 258-272. This comprises a fresh issue of shares worth INR 1,125 crore and an offer for sale (OFS) of 5.47 crore shares.
Earlier, Digit raised INR 1,176.6 crore from anchor investors by allotting 4.32 crore shares. The company intends to utilize the IPO proceeds to maintain its solvency ratio by the end of FY25.
Digit’s listing will add it to the growing list of tech startups on the exchanges. Recently, B2B travel portal Travel Boutique Online (TBO Tek) listed at a 55% premium over its issue price of INR 920. Additionally, TAC Infosec and Trust Fintech listed on the NSE’s SME platform earlier this year.
Looking ahead, coworking startup Awfis’ IPO is scheduled to open next week, while startups like Ola Electric, Unicommerce, and ixigo await SEBI approval for their IPOs.
