GST raids InsuranceDekho head office: report

11 Jan 2025, 01:23 PM

InsuranceDekho founder and CEO Ankit Agrawal and other top officials of the startup were not present in the office at the time of raid.

Team Head&Tale

The Goods and Services Tax (GST) department reportedly conducted a raid at the Gurugram headquarters of insurance aggregator InsuranceDekho on January 9.

The raid was carried out by the Directorate General of GST Intelligence (DGGI), following allegations of tax evasion, Inc42 reported.

The raid restricted employee access to certain parts of the office during the operation.

InsuranceDekho founder and CEO Ankit Agrawal and other top officials of the startup were not present in the office at the time of raid, the report added. 

InsuranceDekho is reportedly in a merger talks with RenewBuy. According to a Mint report, the combined valuation of the merger is projected to exceed Rs 8,000 crore (approximately $950 million), with RenewBuy valued at around Rs 3,000 crore and InsuranceDekho at over Rs 5,000 crore. 

If completed, this merger would make the new entity the second-largest insurance aggregator in India.

Additionally, this merger could facilitate CarDekho's IPO plans, as the company is aiming for a public listing in the upcoming fiscal year. Currently, Amit Jain, co-founder and CEO of CarDekho, holds over 70% of InsuranceDekho and plans to reduce his stake by more than 20% before submitting the Draft Red Herring Prospectus (DRHP).

This announcement follows InsuranceDekho’s recent acquisition of a composite insurance broking license from the Insurance Regulatory and Development Authority of India (IRDAI).

In terms of funding, InsuranceDekho raised $60 million in a Series B round led by Mitsubishi UFJ Financial Group in October last year. RenewBuy raised $40 million in its ongoing Series D funding round in July of last year. 

In FY24, InsuranceDekho's revenue from operations surged to Rs 743.6 crore from Rs 96.5 crore reported in the previous fiscal. The company reported a profit of Rs 85.7 crore in FY24, compared to a loss of Rs 51.59 crore in FY23.