Accel has turned its early bet on Urban Company into a jackpot, after the home services startup’s bumper IPO made headlines across India. Backed by Accel for over a decade, Urban Company (formerly UrbanClap) made a dazzling stock market entry this week. Accel picked up shares at just ₹3.77 apiece, investing ₹14.3 crore early on. After Urban Company listed at a premium, this small investment soared to ₹390 crore — a stunning 27x return. Accel’s total holding of ₹55 crore has now crossed ₹1,500 crore in value, with much of it still invested for future gains.
IPO Smashes Subscription Records
Urban Company’s IPO wasn’t just profitable for insiders. It was a blockbuster event, oversubscribed 103.6 times as investors from institutions and retail alike rushed to grab shares. The offering included a fresh issue of ₹472 crore and a sale of shares worth ₹1,428 crore.
Urban Company Share Listing: Instant Success
Shares listed at ₹168.46 on NSE, up 64% from the upper IPO price band of ₹103. The company’s market cap ballooned past ₹23,000 crore on debut, reflecting massive confidence in its tech-enabled business model. Urban Company, which reported a net profit of ₹240 crore in FY25, has seen revenues jump 36% to ₹1,261 crore.
India’s Home Services Market Grows Up
Urban Company’s rise stands out in the largely unorganised ₹6,000 crore home services sector. Experts now view it as a structural growth engine with the potential to scale new categories and lead the tech-driven transformation.
What Should Investors Do Now?
If shares were allotted, most experts recommend booking partial profits but holding a portion for the long run. Urban Company’s strong leadership and continued focus on digital innovation position it well for future growth.
The Road Ahead
Urban Company’s IPO story is more than just numbers. It’s about creating dignity and opportunities for thousands of service partners. It’s a sign of India’s startup ecosystem coming of age, and experts believe the journey has only started.
