Gurugram-based at-home services platform Urban Company has closed its initial public offering with unprecedented investor demand, attracting bids for 1,106.46 crore shares against an offer of 10.68 crore shares, a subscription of 103.6 times.
IPO Structure & Investor Response
The three-day book build, which opened on September 10, included a fresh issue of Rs 472 crore and an offer for sale (OFS) of Rs 1,428 crore from existing investors such as Accel, Elevation Capital, Tiger Global, Vy Capital, and Bessemer Venture Partners. Qualified institutional buyers (QIBs) led the frenzy at 140.2x, non-institutional investors bid 73.9x, and retail investors subscribed 39.2x. The employee portion saw a subscription of 36.7x.
Urban Company had previously raised Rs 854 crore from anchor investors, including GIC Singapore, Fidelity, and Norges Bank, and executed a Rs 500 crore secondary sale with SBI Mutual Fund and Permira. Priced at Rs 98–103 per share, the IPO values the company at approximately Rs 14,790 crore ($1.7 billion).
Business & Financial Performance
Founded in 2014, Urban Company operates across beauty and wellness services (salons, spas, laser hair reduction) and home maintenance services (plumbing, electrical, carpentry, cleaning, pest control, appliance repairs). The company reported 38% growth in operating revenue to Rs 1,144 crore in FY25, while turning around to a net profit of Rs 240 crore from a Rs 93 crore loss the previous year.
Market Implication
The IPO reflects strong investor confidence in tech-enabled at-home services and Urban Company’s scalable business model. Shares are expected to list on BSE and NSE on September 17, following allotment on September 15, marking a milestone for India’s home services sector.
Stay ahead with StartupByDoc your insider on India’s startup and clean-tech revolution.