Urban Company's Rs 1,900 Crore IPO Set to Open on September 10
Urban Company, an online marketplace for home and beauty services, is launching its IPO to raise Rs 1,900 crore. The subscription period is from September 10-12, 2023, with a price band of Rs 98-103 per share. The IPO includes a fresh issue of Rs 472 crore and an offer-for-sale of Rs 1,428 crore. The grey market shows a premium of Rs 19, suggesting a potential 18% upside. The company's recent quarterly results show a 45% decline in profit but a 30.8% increase in revenue. Funds will be used for technology development, cloud infrastructure, marketing, and general corporate purposes.
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Urban Company, the online marketplace for home and beauty services, is gearing up for its Initial Public Offering (IPO) with ambitious plans to raise Rs 1,900 crore. The company has announced that the IPO will open for subscription on September 10, 2023, marking a significant milestone in its journey.
IPO Details
| Item | Detail |
|---|---|
| Subscription Period | September 10-12, 2023 |
| Listing Date | September 17, 2023 (on BSE and NSE) |
| Price Band | Rs 98 - Rs 103 per share |
| Minimum Investment | Rs 14,935 for retail investors (145 shares) |
Offer Structure
The IPO comprises two components:
- Fresh Issue: Rs 472 crore
- Offer-for-Sale (OFS): Rs 1,428 crore
Grey Market Premium
The grey market is showing enthusiasm for Urban Company's shares, with a premium of Rs 19. This indicates an expected listing price of Rs 122 per share, potentially offering an 18% upside from the upper price band.
Recent Financial Performance
Urban Company's recent quarterly results present a mixed picture:
- Profit: Declined by 45% to Rs 6.94 crore
- Revenue: Grew by 30.8% to Rs 367.30 crore
Utilization of IPO Proceeds
The company plans to use the funds raised from the IPO for various purposes:
- Technology development
- Cloud infrastructure enhancement
- Marketing initiatives
- General corporate purposes
About Urban Company
Urban Company operates as an online marketplace, connecting customers with service professionals for a range of home and beauty services. The company's move to go public reflects its growth ambitions and the increasing demand for on-demand services in the Indian market.
Investors interested in the Urban Company IPO should conduct thorough research and consider the company's business model, growth prospects, and the competitive landscape of the on-demand services sector before making an investment decision.
Note: IPO investments carry risks, and investors are advised to read the offer documents carefully and consult financial advisors before investing.
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