Urban Company's IPO Fully Subscribed: A Milestone in App-Based Services

Urban Company's IPO was fully subscribed on its opening day, marking a significant milestone as its shares received bids 1.27 times the offer. The company plans to use raised funds for technological advancements and marketing, amidst successful investments from various firms.

Urban Company, the app-based platform for beauty and home services, experienced a complete subscription of its Initial Public Offering (IPO) just hours after its debut on Wednesday. The IPO saw retail and non-institutional investors demonstrate robust interest, leading to a total subscription rate of 1.27 times against the available shares.

According to the latest NSE data, Retail Individual Investors (RIIs) contributed to a 3.84 times subscription rate, while non-institutional investors showed a 1.67 times interest. Qualified Institutional Buyers (QIBs) recorded a 20 percent subscription rate. The company raised Rs 854 crore prior to the IPO's opening from anchor investors.

With a set price band of Rs 98-103 per share, Urban Company aims to raise Rs 472 crore through new share sales and enable existing investors to sell stakes valued at Rs 1,428 crore. The funds will propel new technology development, cloud infrastructure, and enhance its international operations across the UAE, Singapore, and Saudi Arabia.

(With inputs from agencies.)