Peak XV Partners offloads shares via block deal on NSE as it continues trimming its holding
ICICI Prudential Mutual Fund has acquired approximately a 1 percent stake in Go Digit General Insurance from venture capital firm Peak XV Partners in a block deal worth ₹139 crore, according to NSE data. The fund purchased 57,21,378 shares, amounting to a 0.62 percent stake in the company, in a transaction executed on Wednesday at an average price of ₹243 per share, bringing the total deal size to ₹139.03 crore. On the seller’s side, Peak XV Partners, through its affiliate Peak XV Partners Growth Investments III, sold an equal number of shares at the same price.
Market Reaction
Following news of the stake sale, shares of Go Digit General Insurance rose more than 1 percent to ₹256.05 per scrip on the National Stock Exchange on Thursday, indicating that investors have reacted positively to the deal.
Regulatory Development
The deal came barely days after the Competition Commission of India approved the proposed merger of the two firms, easing one of the major roadblocks for the corporate restructuring of Go Digit General Insurance Company Limited.
Continued Stake Sales by Peak XV
This is not the first time Peak XV has trimmed its holding in the insurer. Last month, the US-based investment firm sold more than 33.3 lakh shares of Go Digit General Insurance for ₹100 crore, indicating a pattern of gradual stake reduction by the early backer.
About Go Digit
Go Digit General Insurance provides a wide range of general and health insurance products in India and has carved a niche for itself in the general insurance category. The company continues to see institutional buying despite the early investors gradually reducing their stakes in the firm through periodic block deals on the exchange.
