Urban Company IPO: Price Band Set At INR 98-103

Consumer services unicorn Urban Company has set a price band of INR 98 to INR 103 for its upcoming IPO.

At the upper end of the price band, the company would be valued at about INR 14,790 Cr (about $1.6 Bn).

Its public issue will open on September 10 and close on September 12. The bidding for anchor investors will take place on September 9.

Urban Company filed its RHP yesterday after it received SEBI nod for its IPO. The issue will comprise a fresh issue of up to INR 472 Cr and an offer-for-sale (OFS) element of up to INR 1,428 Cr.

Accel, Elevation Capital and Tiger Global are among the existing investors who will offload their shares in the public offering. Accel has cut its share sale by INR 43 Cr to INR 390 Cr, while Elevation Capital and Tiger Global are offloading shares worth INR 346 Cr and INR 303 Cr, respectively. However, the cofounders – Abhiraj Bhal, Varun Khaitan and Raghav Chandra – are not selling any stake via the OFS.

According to the company’s DRHP filed in April this year, the cofounders offloaded shares worth INR 259 Cr each between September 2024 and March 2025. At the time of filing of the DRHP, each of the three founders held 6.67% equity in the company.

Urban Company plans to utilise INR 190 Cr from the proceeds from the fresh issue for new technology development and cloud infrastructure, INR 75 Cr for lease payment for its offices, INR 90 Cr for marketing activities, and the remaining amount for general corporate purposes.

The company is currently working on building multi-category checkout, allowing consumers to book multiple services in a single transaction for convenience and efficiency. This feature will be built with its in-house capabilities.

In the run up to its IPO, Urban Company’s net profit slid 45% to INR 6.9 Cr in Q1 FY26 from INR 12.6 Cr in the year-ago quarter. However, operating revenue grew 24% to INR 367.3 Cr from INR 280.8 Cr in Q1 FY25.

In a press briefing today, the company attributed the decline in Q1 profit to one-time expenses. While a fire at one of its third-party warehouses in Mumbai resulted in an inventory loss of INR 9 Cr, the company also incurred IPO-related expenses during the quarter.

“… We are not seeing any slowdown as such…” said managing director and CEO Bhal.

Notably, the company is also looking to diversify its revenue channels. Last month, Urban Company launched its micro home makeover offering called Revamp, under which users can book expert consultations for home design makeovers. Prior to that, it also forayed into the 15-minute house help service segment through ‘InstaHelp’.

Following its listing, Urban Company will become the sixth new-age tech company after Ather Energy, Smartworks, ArisInfra, IndiQube and BlueStone to go public this year.

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