While the Prem Watsa-backed Go Digit General Insurance IPO is expected to be around ₹5,000 crore, Concord Biotech and Balaji Solutions are expected to raise ₹2,000 crore and ₹400 crore, respectively.
So far in 2022, about 63 companies have filed draft documents with Sebi, while 17 companies, including
, raised around ₹41,140 crore through IPOs. About 71 companies that have received Sebi’s approval are waiting for a better time to launch IPOs.
Public issue of Go Digit General Insurance, a digital comprehensive non-life insurance company, consists of a new issue of shares worth up to ₹1,250 crore and an offer to sell (OFS) of up to 10 .94 crore shares by promoter and shareholders.
In July last year, Digit, one of the first unicorns of 2021, raised $200 million from existing and new investors Faering Capital, Sequoia Capital India and IIFL Alternate Asset Managers, at a valuation of 3. $5 billion.
ICICI Securities, Morgan Stanley India Co,
and are the book managers of the IPO, according to the draft prospectus.
Digit may also consider taking a pre-IPO placement for a cash consideration of ₹250 crore. If the pre-IPO placement materializes, the company will reduce the size of the offering, he said.
The proceeds from its new issue will be used for increasing the company’s capital base and maintaining solvency levels, as well as for general corporate purposes. FAL Corporation, part of Canada-based Fairfax Financial Holdings, has a 45.25% stake in the company.
The IPO of Concord Biotech, a developer and manufacturer of selected fermentation-based APIs in immunosuppressants and oncology, is a 2.09 crore share sale offering by Helix Investment Holdings. Rakesh Jhunjhunwala’s family owned about 24% of the company’s capital.
The company recorded operating revenue of ₹712.9 crore in FY22, a jump of 15.56% from the previous fiscal year.
Net profit decreased by 26% to ₹174.93 crore in FY22.
Kolkata-based Balaji Solutions, a computer hardware and mobile accessories company engaged in the manufacturing, customization and distribution of products under the “Foxin” brand, has also filed its DRHP with Sebi to raise funds through the through an IPO. The offering consists of a new issue of shares worth up to ₹120 crore and an offer to sell up to 75 lakh shares by the promoter and shareholders.
Last week. Balaji Specialty Chemicals, a
subsidiary, filed its DRHP with Sebi to launch an IPO.
The public offering consists of a new issue of shares with a maximum value of ₹250 crore and an offer to sell (OFS) of up to 2.6 crore shares by the promoter and shareholders.
The renewed buzz in the IPO market comes after a nearly three-month gap of no activity. Due to a weak secondary market, no IPOs were launched between May 26 and August 12. ₹ Rs 840 crore IPO of engineering and design company Syrma SGS Technology – the first after three months, was launched on August 12.