- SoftBank entity SVF Python II Cayman sells 1,14,21,212 shares in Policybazaar’s operator, PB Fintech, raising ₹913.75 crore (approximately $120.65 million). The shares were sold at ₹800.05 per share.
- The Government Pension Fund and HDFC Mutual Fund acquired 1.6 million and 1.15 million PB Fintech shares respectively at the same price point.
- These transactions follow SoftBank’s previous sale in October 2022 when it divested a 2.54% stake in PB Fintech in exchange for ₹871.2 crore.
- PB Fintech reported a significant reduction in losses in its second-quarter financial results, down 89% from the previous year to ₹21 crore, while its revenue grew by 42% year-on-year.
SoftBank has sold a significant number of shares in PB Fintech, the operator of Policybazaar, via its entity SVF Python II Cayman. The 1,14,21,212 shares were sold at a rate of ₹800.05 per share, equivalent to a total of ₹913.75 crore, with the Government Pension Fund and HDFC Mutual Fund acquiring 1.6 million and 1.15 million shares respectively at the same price.
This divestment followed SoftBank’s previous sale of shares in October 2022 when the company unloaded a 2.54% stake in PB Fintech, netting ₹871.2 crore in the process. Over the course of the year, PB Fintech’s share price experienced a significant rise of almost 75%, despite seeing a 2.15% decline on the 15th of December.
On a financial level, PB Fintech reported a dramatic decrease in losses in its second-quarter financial results, down 89% from the previous year to ₹21 crore. Revenue also saw a 42% year-on-year increase, reaching a total of ₹812 crore. The reduction in losses is thought to have been driven by a surge in operating revenue, with the company’s health and term insurance business experiencing a 53% yearly growth in new premium for Q2 FY24.
The company experienced a 3% surge in shares following the announcement of a consolidated net loss – a reduction of 89% when compared to the ₹187 crore reported in the corresponding quarter of the previous year. However, when assessed sequentially, PB Fintech’s net loss did expand 75% from ₹12 crore in the June quarter.
