Urban Company, India’s largest home services platform, made a strong debut on the public markets, opening 58% above its IPO price after delivering the country’s most subscribed IPO of the year.
The Gurugram-based startup, which connects users to at-home services ranging from beauty treatments to appliance repair, debuted on the National Stock Exchange at ₹162.25 per share, up from its IPO price of ₹103. The offering, which opened last week, was subscribed over 100 times, reflecting strong demand from both institutional and retail investors.
The public listing also provided a partial exit for early backers, with Accel reaping the largest gains. Accel, which invested at an average of ₹3.61 per share, is sitting on potential profits of nearly 45 times its investment. Elevation Capital invested at ₹5.39 per share, standing to make around 30 times, while Tiger Global’s returns are reportedly about 1.3 times its cost basis.
Urban Company’s success stems from its ability to organize traditionally unorganized household services in India, including cleaning, plumbing, electrical work, massage, and beauty treatments. By digitizing these services through its app, the company created an on-demand platform in a market that lacked standardization, making it the largest organized player in this space.
Before the $217 million public offering, Urban Company raised $97 million from anchor investors such as Goldman Sachs, Dragoneer Investment Group, Norges Bank, GIC, Nomura Amundi Funds, Steadview Capital, Prosus, and WhiteOak. Domestic mutual funds, including SBI Mutual Fund, ICICI Prudential, Nippon, and UTI, also participated in the pre-IPO secondary round.
Founded in November 2014 as UrbanClap by Abhiraj Singh Bhal, Varun Khaitan, and Raghav Chandra, Urban Company now operates in 59 cities across India, the UAE, Singapore, and Saudi Arabia, with India remaining its largest market. The company plans to expand to over 200 cities by fiscal year 2030 to extend the reach of its household services.
Urban Company intends to use the net proceeds primarily for technology development and cloud infrastructure, along with lease payments for office spaces and marketing initiatives.
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