By Arasu Kannagi Basil

(Reuters) -Insurance technology firm Exzeo Group said on Thursday it was targeting a valuation of up to $2 billion in its U.S. initial public offering, becoming the latest company to proceed with its listing plans despite the ongoing government shutdown.

The Tampa, Florida-based company is aiming to raise as much as $176 million in its IPO by offering 8 million shares priced between $20 and $22 apiece.

With no resolution in sight for the federal government shutdown, some corporate issuers are turning to the rarely used 20-day rule to pursue IPOs.

The SEC last week eased the IPO path for companies during the government shutdown, though legal advisers say the shift will not open the floodgates.

"While the SEC's updated guidance issued last week was welcome, its utility is really limited to a handful of companies," said Edward Best, co-head of capital markets group at Willkie Farr & Gallagher.

Companies moving ahead with IPO roadshows and pricing now are those that are near the end of SEC review and confident they won't receive major new comments, he added.

Earlier this year, Exzeo parent HCI Group ( HCI ) had announced its plans to pursue a spin-off of the insurance tech firm, before pivoting to an IPO.

Exzeo's current structure is "not ideal for either valuation purposes or competitive reasons", HCI Chief Financial Officer Mark Harmsworth had said in August.

Previously known as TypTap Insurance, Exzeo provides technology to streamline and automate the interaction between insurance carriers and their policyholders.

TypTap Insurance had been pursuing an IPO since 2021, but shelved the plan in 2023.

Exzeo aims to list on the New York Stock Exchange under the symbol "XZO". Truist Securities, Citizens Capital Markets and William Blair are the joint bookrunning managers for the offering.