Market for home services the Securities and Exchange Board of India (SEBI) has approved Urban Company and wearables brand boAt to launch into the public markets.
The Urban Company plans to raise approximately Rs 1,900 crore through its initial public offering (IPO), having filed its draft red herring prospectus (DRHP) in April of this year. An offer-for-sale (OFS) of Rs 1,471 crore by current shareholders and a new issue of shares valued at Rs 429 crore make up the issue.
Key Highlights
- Urban Company files for ₹1,900 crore IPO; SEBI approves its public debut alongside boAt.
- Sebi cleared Urban Company’s ₹1,900 crore IPO as part of approval for 13 public listings this week.
It is anticipated that the Urban Company's IPO will result in partial exits to Accel, Elevation, Tiger Global, VY Capital, and other investors while also bringing in new funding to improve service quality and increase supply in new markets.
Tiger Global, Accel, Elevation Capital, Dharana, and other investors have contributed over $450 million to Urban Company, according to estimates.
Conversely, Imagine Marketing, the parent company of boAt, had chosen to file under a confidential designation. According to reports, the company is aiming for a valuation of roughly $1.5 billion (nearly Rs 13,000 crore), and the SEBI nod permits it to proceed with its public listing.
To date, boAt has raised more than $170 million, including a $60 million round in 2023 that was led by Malabar Investments and Warburg Pincus. Qualcomm and Fireside Ventures are the next biggest external stakeholders, after Warburg Pincus, according to startup data intelligence platform TheKredible.
Also Read: Motital Oswal: Reliance Jio May Hit Rs 30,000 Cr, Potentially India's Largest
In terms of finances, Urban Company reported a 38% year-over-year rise in revenue to Rs 1,144 crore in FY25, along with Rs 28.5 crore in profits. BoAt, on the other hand, has not yet submitted its FY25 results. Nonetheless, it reported Rs 3,122 crore in revenue in FY24.
Digital investment firm Groww, edtech unicorn PhysicsWallah, and WeWork recently received SEBI approval for their initial public offerings.
