Go Digit General Insurance IPO Subscribed 36% On Day 1

Go Digit General Insurance Ltd. launched its three-day initial public offering on Wednesday to raise over Rs 2,600 crore. It has been subscribed 36% on the first day.

The Virat Kohli-backed startup's IPO consists of a fresh issue of equity shares of face value of Rs 10 each, aggregating up to Rs 1,125 crore. The offer-for-sale portion is worth Rs 1,489.6 crore at the upper end of the price band, which has been fixed in the range of Rs 258–272 per share.

As a part of the OFS, promoter Go Digit Infoworks Services Pvt. will offload 5.74 crore equity shares, which were acquired at a weighted average cost of Rs 13.57 per share. Selling at the upper end of the price band would get them a profit of Rs 1,415 crore.

The Pune-based company aims to utilise the net proceeds towards maintenance of its solvency ratio, according to the red herring prospectus. The company allotted 4.32 crore shares at Rs 272 apiece to 56 anchor investors, raising Rs 1,176 crore ahead of its IPO.