Policybazaar's mcap exceeds Rs. 50,000 cr on day-1
PB Fintech Ltd, parent entity of Policybazaar and Paisabazaar, raised Rs5,625 cr via IPO and planning to use the proceeds to enhance visibility and awareness of brands, find new opportunities to expand consumer base including offline presence
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Bengaluru: The stellar listing of new age internet companies continues in the Indian bourses. The latest to join is PB Fintech Ltd, the parent entity of Policybazaar and Paisabazaar.
After getting sound response from investors for its IPO, shares of the company listed at 17.35 per cent premium to its IPO price on Monday and closed the trading session at Rs 1,202.90 per share against the issue price of Rs 940-Rs 980. The market capitalisation of the insurtech stood at Rs 54,070.33 crore on the first day of listing.
Launched in June 2008 by Yashish Dahiya, Alok Bansal and Avaneesh Nirjar as a price-comparison website, Policybazaar launched India's first online insurance marketplace in 2011. The company later launched Paisabazaar as a credit comparison platform. The fintech became a unicorn in 2018 after SoftBank infused funds into the company.
The company, which raised Rs5,625 crore through the public offer, is planning to use the IPO proceeds to enhance visibility and awareness of brands, find new opportunities to expand consumer base—including offline presence, strategic investments, and acquisitions—and expand its presence outside India.
In comparison, another startup Nykaa debuted on Indian bourses at a premium of 79.4 per cent on Friday last week. However, as the company announced its second quarter results with 96 per cent in its net profit due to surge in marketing costs before its IPO, the stock price tanked 7.4 per cent at Rs 2,185 per share on Monday.
Post Zomato's listing in July, now a bevy of tech startups are going public with the most prominent one being of Paytm, which recently raised funds in India's biggest IPO.
