Go Digit General Insurance Limited

About the company

## **About  Go Digit General Insurance Limited** Incorporated in 2016, Go Digit General Insurance Limited is India’s largest digital full stack non-life insurance company. It offers motor, health, travel, property, marine, liability and other insurance products which can be customized by the customer. It has 74 active products across its business lines and holds a market share of 6% in the motor insurance segment as of 31 December 2023. It was one of the first companies to offer customizable insurance for flights delayed by 60 minutes, and group illness insurance for COVID-19 hospitalization costs. As of 31 December 2023, it is present in 24 states and union territories in India with a network of 61,972 key distribution partners including 58,532 POSPs (Point of Sales Person), individual agents, corporate agents, brokers and others. It also offers its products to customers through its website and web aggregators. It is one of the first non-life insurers in India to be fully operated on cloud and has had 1,883 API integrations with partners as of Q3 FY24. Its partners have issued 34.54 million policies with API integrations since its inception. It supports all its partners through the use of technology that allows it to onboard and work with them in a cost-efficient manner making it a scalable operating platform. It also invests the cash generated by its operations in securities in the Indian market that generated an average yield of 7.4% and 6.3% in Q3 FY24 and FY23, respectively. Between Q3 FY23 and Q3 FY24, it saw a rise of 954 % in its total income and a loss of 82%. However,  the non-life insurance industry is expected to grow at a CAGR of 15% to  16% between FY23 and FY28, which could be beneficial for the company. And now, Go Digit General Insurance Limited is coming out with its initial public offer (IPO). The IPO will be a fresh issue, aggregating to ₹1,125 crore, as well as an offer for sale, aggregating to ₹1,489 crore. The money raised from the fresh issue will be utilized to maintain its solvency ratio. Its shares will be listed on the NSE and BSE. Here are key details about the Go Digit General Insurance IPO: Company Name| **Go Digit General Insurance Limited Limited**|  | Company Type| **Private** ---|---|---|---|--- Company Established On|**2016**| ### **Financial snapshot** **Particulars**| **FY21**| **FY22**| **FY23**| **Q3FY24** ---|---|---|---|--- Revenue|₹ -118 crore|₹ -293 crore|₹ 39.1 crore|130 crore Net Profit/Loss|₹ -122 crore|₹ -295 crore|₹ 35.5 crore|129 crore ## ## **Here’s a quick look at Go Digit General Insurance Limited IPO’s strengths, weakness, opportunities and risks (SWOT analysis)** ### **Strengths and opportunities** 1. Enhanced customer experience by offering easy-to-understand, customizable products which results in high customer satisfaction, evidenced by its net promoter scores of 73% for non-claims and 93% for motor claims as of 31 December 2023. 1. Focuses on empowering its distribution partners by providing access, point of sales solutions, customized integration, tools to build insight, and self service.  1. Has built extensive underwriting models which can be used to accurately assess risk and predict losses for its motor insurance products at a granular level. The key attributes of its underwriting model include decoding a vast set of variables, ability to automate underwriting, and a greater ability to identify and acquire profitable businesses.  1. Operates on an advanced technology platform that allows it to simplify, empower and customize processes; utilize AI and machine learning to enhance efficiency; and leverage data bank to enable algorithm-driven strategic decisions. ### **Risks and threats** 1. Track record of reporting losses as it has consistently reported operating losses from FY21 to Q3 FY24.  1. Unable to meet the mandatory level of solvency ratio under the Insurance Act may cause it to stop transacting any new business or change its business strategy. 1. Catastrophic events like natural disasters, terrorist attacks or pandemics increase its liability claims and may result in losses in its investment portfolios.  1. Relies on motor insurance for a substantial amount of its revenue accounting for 61% of its total GWP (Gross Written Premium) as of 31 December 2023.   1. Exposed to significant market risks such as changes in interest rates or adverse movements in the equity markets that could impair the value of its investment portfolio. ## **Go Digit General Insurance Limited IPO details** ### **** **Go Digit General Insurance Limited IPO date** According to the offer document filed by the company with the SEBI, the Go Digit General Insurance IPO’s opening date – in other words, the Go Digit General Insurance IPO launch date – will be 15th May 2024. The Go Digit General Insurance IPO closing date is 17th May 2024. After this, investors will be updated about the allotment status on 21st May 2024. Investors, who have been allotted shares, can expect them to be credited to their demat account on 22nd May 2024. The Go Digit General Insurance IPO listing date is 23rd May 2024. The listing date is the date on which the shares of a company get listed on the bourses – NSE and BSE. ### **** **Go Digit General Insurance Limited** **IPO Price Band** The IPO is a fresh issue as well as an offer for sale. The Go Digit General Insurance IPO price band has been set between ₹258 and ₹272 per share. Interested investors can choose a price within this band to apply for the IPO. The Go Digit General Insurance IPO listing price will be determined on 23rd May 2024. The listing price is the price at which a company’s shares debut on the stock exchanges. **** **Go Digit General Insurance Limited IPO Lot size** The Go Digit General Insurance IPO details have been declared. The Go Digit General Insurance IPO lot size is set at 55 shares and an investor can apply for a minimum of 1 lot. Meanwhile, the Go Digit General Insurance IPO issue size is approx ₹2,614 crore. ## **How to pre-apply for the Go Digit General Insurance Limited** **IPO?** You can pre-apply for the Go Digit General Insurance Limited IPO on Upstox. The pre-application for this IPO, which means pre-apply open date, usually begins a day before the IPO opens for subscription. Follow these steps to pre-apply for the IPO: 1. Login to your Upstox account, using your six-digit PIN 1. After successfully logging in, click on ‘Discover’ 1. On the Discover tab, you will find the ‘Invest in IPO’ section 1. Under the Invest in IPO section, look for the ‘Go Digit General Insurance Limited IPO’ tab and click on it 1. Now fill in all the required information, like ‘bid price’ and ‘lot size’ 1. Confirm and click on ‘Pre-Apply’ 1. Accept the mandate on your UPI app ## **How to apply for the Go Digit General Insurance Limited** **IPO?** If you are interested in this investment opportunity but unsure how to apply for the Go Digit General Insurance Limited IPO, here we are listing out the steps for you. When the public issue opens for subscription, one can follow this step-by-step guide on how to apply for the Go Digit General Insurance Limited IPO on Upstox: 1. Login to your Upstox account, using your six-digit PIN 1. After successfully logging in, click on ‘Discover’ 1. On the Discover tab, you will find the ‘Invest in IPO’ section 1. Under the Invest in IPO section, look for the ‘Go Digit General Insurance Limited IPO’ tab and click on it 1. Now fill in all the required information, like ‘bid price’ and ‘lot size’ 1. Confirm and click on ‘Apply’ 1. Accept the mandate on your UPI app ## **How to check the Go Digit General Insurance Limited** **IPO** **allotment status?** When the allotment process is completed, you can check the status of your application on the Upstox app. Share allotment is generally done around five to six days after an IPO closes. Here’s a step-by-step guide on how to check the Go Digit General Insurance Limited IPO allotment status: 1. Login to your Upstox account, using your six-digit PIN 1. After successfully logging in, click on ‘Discover’ 1. On the Discover page, you will find the ‘Invest in IPO’ section 1. Under the Invest in IPO section, you will find the ‘View all’ option 1. Once you click on ‘View all’, you will be directed to the ‘IPO’ tab 1. In the ‘IPO’ tab, click on ‘My applications’  1. In ‘My applications’, under the History section, your Go Digit General Insurance Limited IPO allotment status will be mentioned Check Allotment Status ## **Open a demat account with Upstox to apply for the Go Digit General Insurance Limited** **IPO** To apply for the Go Digit General Insurance Limited IPO, you need to mandatorily have a demat account. A demat account helps you hold the shares you buy in a dematerialised format. If you don’t have a demat account yet, you can open one with Upstox by visiting our website or by downloading the app. Here is a step-by-step guide on how to open a demat account with Upstox: 1. Click [ **here**](https://upstox.com/open-demat-account/\OpenOpen?landing_page=learning-center/demat-account/demat-account-opening-procedure) to visit the demat account opening page on the Upstox website.  1. Enter your phone number and other essential details to begin opening a demat account. 1. Upload the scanned copies of your PAN, Aadhaar card, a cancelled cheque, and your bank statement as needed.  1. Complete the e-verification using the OTP sent to your registered mobile number. This is all it takes to open a demat account with Upstox. Easy and quick, right? [Open Demat Account](https://upstox.com/open-demat-account/\Open\Open) ## **Upstox – trading app to apply for the Go Digit General Insurance Limited IPO** Applying for IPOs with Upstox is extremely easy. The user-friendly interface and top-notch security make Upstox one of the leading trading apps in India. You can apply for the Go Digit General Insurance Limited IPO on Upstox, provided you have a demat account. As mentioned in the previous section, you can simply follow the steps to open a demat account with Upstox. The biggest advantage is that when you apply for an IPO using your Upstox account, the brokerage charges are zero. In fact, courtesy of its robust features and minimal charges, Upstox is among the most preferred trading apps. Lakhs of Indians trust Upstox as it is a reliable trading platform that makes IPO applications easy.

Financial performance (₹ Cr)

IPO Roadmap / Timeline

1. IPO Opens

   Completed
   15 May 2024

   Bidding starts for all investor categories

2. IPO Closes

   Completed
   17 May 2024

   Last day to place your bid

3. Basis of Allotment

   Completed
   17 May 2024

   Share allotment finalised

4. Refund Initiation

   Completed
   22 May 2024

   Refunds credited for non-allottees

5. Credit to Demat

   Completed
   21 May 2024

   Allotted shares credited to demat account

6. Listing on Exchange

   Completed
   23 May 2024

   Shares list on NSE / BSE

Post-close dates are indicative as per SEBI T+3 listing framework and may change per registrar updates.