Urban Company to debut on Dalal Street with ₹1,900 crore IPO

The Gurugram-based home services marketplace, Urban Company, is gearing up for its maiden public offering after filing draft papers with SEBI in April. The company is reportedly looking to raise ₹1,900 crore through a mix of fresh equity issuance and an offer for sale (OFS) by existing investors.

The IPO will open for subscription on Wednesday, September 10, and close on Friday, September 12, with the anchor investor bidding window scheduled for September 9.

As per the draft offer documents, the price band has been fixed at ₹98–₹103 per share. The offering includes a fresh issue of shares worth ₹472 crore, while the larger portion of ₹1,428 crore will come from the OFS. At the upper end of the price band, Urban Company’s post-issue market capitalisation is expected to be in the range of ₹14,095 crore to ₹14,790 crore.

Each equity share carries a face value of ₹1, and investors can bid in lots of 145 shares and in multiples thereof. The IPO is being managed by a consortium of lead managers, including Kotak Mahindra Capital, Morgan Stanley India, Goldman Sachs (India), and JM Financial.

In terms of allocation, 75% of the issue is reserved for Qualified Institutional Buyers (QIBs), amounting to approximately ₹1,423 crore. Non-Institutional Investors (NIIs) will get 15% of the issue, translating to about ₹285 crore, while the remaining 10% is earmarked for Retail Individual Investors (RIIs).

Founded in 2014, Urban Company (formerly known as UrbanClap) began as a tech-enabled platform connecting consumers with vetted home service professionals. Since then, it has expanded across India and into several international markets.

It offers a comprehensive range of services delivered at the customer’s doorstep, including beauty and grooming, spa and massage therapies, home cleaning, appliance repair, plumbing, electrical and carpentry work, as well as pest control and painting services.

This development comes at a time when the capital markets regulator SEBI has cleared 13 IPOs collectively worth over ₹16,000 crore. Along with Urban Company, approvals have been granted to boAt, Corona Remedies, Pace Digitek, Jain Resource, and Juniper Green, among others. Draft papers of companies such as Allchem Lifescience, Om Freight Forwarders, Priority Jewels, Mouri Tech, Ravi Infrabuild Projects, KSH International, and Omnitech Engineering have also received SEBI’s nod.

Separately, Warburg Pincus-backed Imagine Marketing, the parent company of electronics brand boAt, which confidentially filed its draft papers in April, is reportedly planning to raise funds at a valuation of around ₹13,000 crore.