Friday, July 19, 2024
Outlook.com
Outlook India
Outlook Business

SoftBank Likely To Dilute 5 Per Cent Stake In Policybazaar

The base price for this block deal could be fixed at Rs 440 per share

SoftBank Likely To Dilute 5 Per Cent Stake In Policybazaar
SoftBank had invested $199 million in Policybazaar
POSTED ON December 02, 2022 1:53 PM

Japanese conglomerate SoftBank is planning to sell a 5 per cent stake in PB Fintech, the parent company of the online insurance marketplace Policybazaar, through a block deal on Friday. Sources claimed that the US-based multinational investment bank Citi would be the sole broker for the deal. 

The base price for this block deal could be fixed at Rs 440 per share. It is expected to happen at a 4.5 per cent discounted price from PB Fintech's Thursday market close. Recording a 2.05 per cent surge, PB Fintech's stock ended at Rs 461.55, yesterday. 

Through this dilution, SoftBank aims to raise Rs 1000 crore. 

SoftBank had invested $199 million in Policybazaar. Last year, the Japanese conglomerate sold shares worth $250 million in the initial public offering (IPO) programme. Currently, it holds a 10 per cent stake in PB Fintech, which is expected to come down to 5 per cent after the deal. 

Before SoftBank, global investment firm Tiger Global also diluted a 3.57 stake in PB Fintech through an open market deal. It divested 1.6 crore shares at a fixed price of Rs 374-388 per share. 

Founded in 2018 by Yashish Dahiya and Alok Bansal, the Gurgaon-based company went public for the first time on November 22, 2021. It achieved nearly 18 per cent on the listing. 

PB Fintech claimed to narrow down its losses for the September quarter of 2022 to Rs 186.83 crore, compared to Rs 204.44 crore in the same quarter last year. The company also witnessed a 105.11 per cent surge in revenue from operations to Rs 573.47 crore in the September quarter compared to Rs 279.58 crore in the corresponding quarter, last year. 

  • Related Articles

    iXceed also aims to increase the number of delivery centres in the northern parts of India and wants to bolster footprints in the southern part of the country

    HR Tech Start-Up iXceed Solutions Plans To Invest €1 million In Global Expansion Plans

    Both Wipro and Linecraft AI did not disclose the financial details of the transaction

    Wipro To Acquire Pune-Based Industrial IoT Product Start-Up Linecraft AI

    The said plant seems to be up and running within six months to provide drone solutions for the domestic armed forces and export requirements

    Anadrone Systems To Set Up Its Research And Development Centre In Odisha