Urban Company files draft papers for $223 million IPO
Gurugram-based Urban Company turned profitable in the previous financial year
India's Tiger Global-backed Urban Company filed for an initial public offering of 19 billion Indian rupees ($223 million), its draft papers released on Monday showed.
Urban Company, which provides mobile app-based beauty and home care services, will raise up to 4.29 billion rupees by selling new shares, while existing investors plan to offload stock worth 14.71 billion rupees.
Also read | Mumbai professional slams Urban Company over working condition of woman masseuse
The online services aggregator plans to use over half of the funds raised from new shares for developing tech offerings, and the rest largely for office leases and marketing.
Urban Company operates in 59 cities across India, UAE and Saudi Arabia.
The firm, also backed by Bessemer Venture Partners, joins a list of startups that are looking to or have already filed to go public, such as Physics Wallah, PhonePe and Flipkart.
Gurugram-based Urban Company turned profitable in the previous financial year, reporting a pre-tax profit of 271.4 million rupees in the nine months to December 2024 compared with a loss of 577.7 million rupees a year earlier.
Also read | Urban Company offers ‘Insta Maids’ for domestic help service
A tax credit helped the company report an overall profit of 2.43 billion rupees for the period.
Domestic private equities Accel India and Elevation Capital, Urban Company's earliest backers and top shareholders with a stake of 10.5% and 10.8%, respectively, will collectively sell shares worth 7.79 billion rupees.
Kotak Mahindra Capital, Morgan Stanley, Goldman Sachs and JM Financials are the lead bankers for Urban Company's primary share issuance.
($1 = 85.1700 Indian rupees)
