Digit Insurance is an Indian based start-up company looking to raise funds by going public. They are looking to receive a fresh batch of funds of at least $ 500 million USD, at an initial public offering where the company is valued at around $ 5 billion USD.
The company is a general insurance offering start-up firm that has gotten the stamp of approval from the Insurance Regulatory and Development Authority of India. The company is looking to make the entire process and concept of insurance easy and attainable for the Indian masses. You can avail all types of insurances from them including car and bike insurance, health insurance, travel insurance, and so much more. The company was founded 5 years ago back in 2017 by Mr. Kamesh Goyal. Its head office is situated in Bangalore.
Currently, the company crossed 20 million customers according to their website and will be looking to scale up their operations with their new batch of fresh funds.
ICICI Securities, a subsidiary of the ICICI group along with Morgan Stanley will be heading the initial public offering of the company. They plan to submit all the relevant documents to the government and get them approved by September this year, and then go public and raise funds at the turn of the year.
At the start of the month, during their latest round of funding, the company was valued at $ 4 billion USD. Since its inception, well over $ 400 million USD has been injected in to Digit Insurance. The company has even been backed by one of India’s best ever cricket players, Mr. Virat Kohli.
Recent Indian initial public offerings have not been doing well however, with companies like LIC having a massive slump after it went public. LIC’s shares slumped down by almost 8% since it went public and many experts have said that its not the best time right now for companies to go public. The effects of COVID 19, along with Russia’s invasion of Ukraine causing fuel prices to rise rapidly and consistently along with the breaking of global supply chains, going public seems to be risky.
Oyo Rooms also shelved their plans to go public this year due to this and have said that they will look in to going public again only next year. So, Digit Insurance will have to tread the dangerous waters of going public very carefully.
