Go Digit shares make muted market debut; stock lists at 5% premium on NSE

Shares of Go Digit General Insurance Ltd made a muted debut at Dalal Street on Thursday as the new-age general insurance company was listed at Rs 286 on NSE, a premium of merely 5.15 per cent over its issue price of Rs 272 apiece. Similarly, the stock kicked off its maiden trading session at a premium of 3.35 per cent to Rs 281.10 on BSE.
 

The dull listing is in-line to the expectations, signaled by the grey market premium for the company. Ahead of its listing, shares of Go Digit General Insurance were commanding a grey market premium of Rs 8-10, suggesting listing gains of around 3 per cent to the investors over the issue price. However, its premium in the unofficial market stood at Rs 30-32 just a few hours before listing.
 

Pune-based Go Digit General Insurance sold its IPO in the price band of Rs 258-272 per share with a lot size of 55 shares. It was open between May 15 and May 17. The new age general insurer raised a total of Rs 2,614.65 crore through its primary offering, which included a fresh share sale of Rs 1,125 crore and offer-for-sale (OFS) of up to 5,47,66,392 equity shares.
 

The issue was overall subscribed 9.60 times. On an individual basis, quota for qualified institutional bidders (QIBs) was booked 12.56 times. The quota for non-institutional investors was subscribed 7.24 times, and the portion reserved for retail investors was subscribed 4.27 times during the three-day bidding process.
 

Backed by Prem Watsa's Fairfax Group, Go Digit General Insurance is a general insurance provider, offering motor insurance, health insurance, travel insurance, property insurance, marine insurance, liability insurance and other insurance products. Customers can customize their insurance to meet their needs.
 

Morgan Stanley India Company, Axis Capital, Nuvama Wealth Management, HDFC Bank and IIFL Securities are the book running lead managers of the Go Digit IPO, while Link Intime India is the registrar for the issue