Policybazaar files DRHP with Sebi, aims to raise over Rs 6,000 cr via IPO

PB Fintech, the parent firm Policybazaar and Paisabazaar, has filed a draft pink herring prospectus (DRHP) with marketplaces regulator Securities and Exchange Board of India (Sebi), with an aim to increase Rs six,017.50 crore through an preliminary general public providing (IPO).

The IPO will consist of a refreshing concern of shares worth Rs three,750 crore and an supply for sale of shares to the tune of Rs two,267.five crore from investors and present shareholders.

The selling investors involve SVF Python II (Cayman) Limited, which is selling shares worth Rs 1,875 crore, and other shareholders will market shares worth Rs 392.50 crore, of which Yashish Dahiya, Chairman and CEO of the firm, will be selling shares worth Rs 250 crore.

Cash elevated from the general public providing (refreshing concern) will be used to greatly enhance the visibility of and consciousness of the brand name, which include but not minimal to Policybazaar and Paisabazaar, new options to extend the customer base which include offline existence, strategic acquisitions, and investments, extend existence outside the house India, and general corporate purposes, the firm mentioned in its DRHP.

It has also outlined that it may well consider a additional concern of equity shares by way of non-public placement aggregating upto Rs 750 crore prior to submitting the pink herring prospectus with the registrar of corporations (RoC).

Kotak Mahindra Cash, Morgan Stanley, Citigroup World wide Marketplaces India, ICICI Securities, HDFC Bank Ltd, IIFL Securities, and Jefferies India are the reserve operating lead supervisors to the concern.

The firm mentioned it has incurred losses to the tune of Rs 150.24 crore in FY21. “We be expecting our expenses to boost over time and our losses will keep on offered the investments expected toward escalating our business”, it mentioned.

In FY20, the firm experienced posted a reduction of Rs 304 crore and in FY19 losses were to the tune of Rs 346.eight crore.

The firm in its DRHP mentioned it used Rs 367.84 crore in promoting and promotions in FY21. Similarly, promoting and marketing expenditures in FY20 were to the tune of Rs 445.two crore in Fy20 and 345.eighty five crore in FY19.

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