NEW DELHI, Urban Co, the Indian home services technology startup known for offerings ranging from plumbing and cleaning to massage therapy, saw its initial public offering (IPO) oversubscribed more than three times on the first day of book-building, buoyed by strong demand from retail and high-net-worth investors.
Exchange data showed that retail investors bid for nearly seven times their allotted shares, while the high-net-worth individual quota was subscribed four times. Institutional investors accounted for 1.3 times demand. The IPO, which closes on Sept 12, aims to raise 19 billion rupees (RM910 million) through a combination of fresh share issuance and sales by existing shareholders.
Investor appetite was particularly strong in the retail and employee tranches, which were fully booked within the first hour of trading. The enthusiastic response echoes the IPO frenzy of 2021, when Indian startups such as quick-commerce player Eternal Ltd and Paytm operator One 97 Communications Ltd attracted overwhelming investor interest. It also highlights renewed optimism for consumer-focused firms expected to benefit from recent government tax incentives designed to boost household spending.
“Urban has redefined home services by transforming what was once a discretionary luxury into a lifestyle essential,” said Hariprasad K, founder of Livelong Wealth. “That cultural shift remains its strongest moat.”
Founded in 2014, Urban operates in 47 cities across India and has expanded internationally to the United Arab Emirates and Singapore. Ahead of its listing, the company secured US$97 million in anchor investment from global funds managed by Norges Bank Investment Management, Fidelity, Nomura Holdings Inc, and Amundi SA.
For the financial year ended March, Urban posted a net income of 2.4 billion rupees. Analysts expect sustained growth momentum, supported by an expanding customer base and the rollout of new service verticals.
