Investors lap up Urban Company, Dev Accelerator and Shringar IPOs

Backed by Tiger Global, the home services marketplace sees bumper demand; Dev Accelerator and Shrinagar House of Mangalsutra IPOs also heavily oversubscribed

Investors lapped up the initial public offerings (IPOs) of Urban Company, Dev Accelerator, and Shringar House of Mangalsutra. The ₹1,900-crore IPO of tech start-up Urban Company, which was fully subscribed within hours of launch, saw 103.63 times subscription. The institutional portion was subscribed 140.2 times, the high net worth individual (HNI) portion 74.04 times, the retail investor portion 39.25 times, and the employee portion 36.8 times.

 

The bumper subscription makes Urban Company the 65th firm to garner more than 100x subscriptions in the last six years. And most subscribed this year amongst IPOs, which had an issue size of more than ₹800 crore. 

“Investors understood that Urban Company is the only marketplace for home services of various kinds. Over time, its penetration has increased not only in terms of service breadth but also in the number of cities where it operates. It has hardly any comparable peers, which gives the company strong long-term potential to keep delivering value,” said V. Jayasankar, managing director of Kotak Investment Banking. 

Meanwhile, the  ₹143-crore IPO of Dev Accelerator was subscribed 64 times, and that of Shringar House of Mangalsutra was subscribed 60.3 times.