Exclusive: General insurance firm Digit’s valuation crosses $4 Bn

General insurance provider Digit Insurance has raised Rs 417 crore led by existing investors Sequoia Capital and India Infoline. This appears to be a fresh round which values the five-year-old firm at over $4 billion.

Digit had raised Rs 121 crore in August 2021 from the TVS Growth Fund and high net worth individuals at a valuation of $3.47 billion. Entrackr had exclusively reported this at that time.

Digit has passed a special resolution to allot 12.7 million equity shares at an issue price of Rs 328 per share to raise Rs 417 crore, regulatory filings show. 

Sequoia led the round with an infusion of Rs 269 crore while new investor IIFL joined the round with a funding of Rs 148 crore. As per Fintrackr estimates, the general insurance arm of the Fairfax-backed company has been valued between $3.9 to 4.15 billion following this round.

Founded in 2017, Digit is a general insurance company that deals in health, car, bike, and travel insurance. According to the company, Motor is the largest category for Digit followed by fire and health insurance. Digit claimed that it had recorded Rs 5,268 crore in revenue (gross written premiums) during the recently concluded financial year (FY22).

The general insurance company also registered 40% compared in the last financial year as compared to FY21 and sold over 77.6 lakh policies.

Digit’s backers include Fairfax Financial Holdings, A91 Partners, Faering Capital, TVS Capital and over 125 individual investors. Indian cricketer Virat Kohli and Anushka Sharma also invested in the company in 2020.

Kohli is also a brand ambassador for the general insurance company that majorly competes with Acko and several insurance companies. Acko also turned unicorn in October last year after a $255 million round led by General Atlantic and Multiples Private Equity.