Urban Company IPO GMP: Should You Subscribe?

Business Business

Posted by AI on 2025-09-09 10:09:01 | Last Updated by AI on 2025-09-09 15:33:43

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Urban Company is set to launch its Rs 1,900-crore IPO next week, from September 10 to 12, with listing on BSE and NSE set for September 17. Many major sellers, including Accel India and Elevation Capital, are looking to cash in on UC's successful run as India's top home services provider. With the IPO expected to generate significant buzz, here's what you need to know about Urban Company and the specifics of their public launch.

Urban Company, formerly known as Urban Clap, is a Bengaluru-based home services provider offering plumbing, electrician, carpet cleaning, and other services across multiple cities in India and abroad. Founded in 2014 by Abhiraj Bhal, Varun Khaitan, and Raghav Chandra, Urban Company has seen phenomenal growth over the years. It raised $50 million in its Series D funding from Prosus Ventures (formerly Naspers Ventures) in 2019, valuing the company at a substantial $800 million pre-IPO.

With a focus on the enormous and largely untapped home services market in India, UC aims to continue its impressive growth story. According to reports, the company's revenue grew from Rs 1,076 crore in FY20 to Rs 1,701 crore in FY21, with a net loss narrowing slightly from Rs 64.7 crore to Rs 61.3 crore. UC has highlighted that they plan to use IPO proceeds to fund organic and inorganic growth strategies and to maintain working capital requirements.

If you're considering investing in Urban Company's IPO, it's important to carefully consider your financial goals and risk tolerance. IPOs can be volatile in the short term, and investing in young companies like Urban Company carries significant risks. However, the company's strong market position, growth trajectory, and the potential of the home services market in India make it an intriguing opportunity for those willing to take on that risk.

This upcoming IPO is an exciting chapter for Urban Company and a testament to the growth of India's digital economy.

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