Urban Company Files for $223 Million IPO to Boost Tech Expansion

Urban Company, the mobile app-based home services platform backed by Tiger Global, has formally filed for an initial public offering (IPO) aimed at raising approximately ₹19 billion ($223 million), according to draft papers released on Monday.

Under the terms of the proposed offering, the Gurgaon-based firm will raise up to ₹4.29 billion through the issuance of new shares. Meanwhile, existing shareholders are set to offload stock worth ₹14.71 billion, providing an exit opportunity for early investors.

The IPO marks a major milestone for Urban Company, one of India’s leading online service aggregators specializing in beauty, wellness, and home care. It operates in 59 cities across India, as well as in select markets in the United Arab Emirates and Saudi Arabia.

Focus on Technology and Expansion

Urban Company intends to channel over half of the funds raised through the sale of new shares into bolstering its technological capabilities. According to the draft prospectus, investments will focus on platform development, artificial intelligence tools, and enhanced user experience initiatives.

The remaining proceeds are earmarked for leasing new office spaces and strengthening marketing campaigns to expand the company’s market presence in existing and new geographies.

The company’s aggressive focus on technology underlines its strategy to consolidate its leadership position amid growing competition in the services aggregation space.

Backed by Global Investors

Alongside Tiger Global, Urban Company’s investor roster includes Bessemer Venture Partners, reflecting strong backing from prominent global venture capital firms. The upcoming IPO provides an opportunity for these investors to partially monetize their stakes while reinforcing confidence in India's booming digital services sector.

Urban Company’s move into the public market follows a wave of Indian startups such as Physics Wallah, PhonePe, and Flipkart, which have either filed for or launched IPOs in recent months, signaling a broader trend of technology-driven enterprises seeking public capital.

Industry Outlook

Analysts say the services aggregation sector is poised for robust growth, driven by increasing smartphone penetration, rising urban incomes, and a shift toward app-based conveniences in home and personal care segments.

Urban Company’s expansion into international markets like the UAE and Saudi Arabia further diversifies its revenue streams and positions it as a global contender in the digital services domain.

The timeline for the IPO launch remains subject to regulatory approvals and market conditions.