New Delhi:
The Softbank-backed Insurance aggregator turned broker Policybazzar is planning to raise Rs 6,500 crore via an initial public offering (IPO), .
PB Fintech, the parent company of Policybazaar in a regulatory filing approved a resolution to raise the Rs 6,500 crore via fresh issue of equity.
Media reports suggest Policybazaar is planning to come out with an IPO by December this year and wiould file a Draft Red Herring Prospectus (DRHP) with markets regulator Securities and Exchange Board of India (Sebi) soon .
The IPO is expected to be a mix of a fresh issue of shares and an offer for sale (OFS), wherein existing investors can sell their stakes directly through exchanges, according to the regulatory filings.
The company has also passed a special resolution to rename as PB Fintech Ltd, and converting from private limited to public entity.
The company has increased the limit of investments by NRIs and OCIs from 10 per cent to 24 per cent, according to the filings. It has also converted outstanding convertible preference shares into equity shares.
Yashish Dahiya, Alok Bansal, and Avaneesh Nirjar founded Policybazaar in June 2008. The company’s list of investors includes Japan’s SoftBank Vision Fund, private equity firm True North, Premji Invest, Tiger Global and Temasek, among others.The insurtech has other marquee investors like Falcon Edge Capital, Tencent and others.
Policybazaar recorded a loss of Rs 218 crore in FY20 against Rs 213 crore in the previous fiscal. The financial results for FY21 are not out yet.
The firm recently received an insurance broking licence from the Insurance Regulatory and Development Authority of India (IRDAI)