Urban Company Limited’s initial public offering (IPO), which opened on 10 September 2025, is witnessing robust investor participation as it nears closure on 12 September. The company has set a price band of ₹98 to ₹103 per equity share, aiming to raise ₹1,900 crore through the mainboard issue. Out of this, ₹472 crore is earmarked for fresh equity issuance, while the remaining ₹1,428 crore will be raised via an offer for sale (OFS). Post listing, the shares will be traded on both the BSE and NSE.
Grey Market Buzz
Even before subscription began, the IPO had generated excitement in the unlisted space. According to market observers, the Urban Company IPO grey market premium (GMP) rose to ₹40 today, up from ₹39 a day earlier and ₹28 just four days ago. The current premium points towards a potential listing gain of nearly 38% for investors, reflecting positive sentiment and strong demand in the primary market.
Subscription Status
By 10:15 AM on the second day of bidding, the IPO was subscribed 10.49 times overall. The retail investors’ category saw the highest traction, with bids at 19.47 times the allotted quota. Non-Institutional Investors (NIIs) followed closely with a subscription of 22.26 times, while Qualified Institutional Buyers (QIBs) subscribed 1.58 times their reserved portion.
Expert Views
Analyst opinions remain divided on valuation.
- Sachin Jasuja, Head of Equities at Centricity WealthTech, cautioned that while Urban Company has a promising business model, the IPO is “richly priced” with thin operating margins, leaving “very little on the table” for near-term investors.
- BP Equities issued a “Subscribe” call, citing the company’s leadership, improving financials, and long growth potential.
- Mehta Equities recommended “Subscribe with Risk,” pointing out that the IPO is fully priced on current earnings but offers strong long-term potential due to Urban Company’s premium positioning in India’s underpenetrated home services market.
Other brokerages including Dr Choksey Finserv, Arihant Capital, Lakshmishree Investment, Canara Bank Securities, and Sushil Finance have given a positive view, while ICICI Securities and SMC Global Securities remain neutral.
Key Dates
The IPO allotment is expected to be finalized on 13 September 2025. If delayed due to the weekend, the process may shift to 15 September. The listing is tentatively scheduled for 17 September 2025.
With high subscription numbers and a rising grey market premium, all eyes are now on Urban Company’s debut on Dalal Street, where investors will look to see if the strong market buzz translates into equally strong listing gains.
