Urban Company’s board has approved a plan to raise Rs 2,500 crore through a qualified institutional placement (QIP), according to a stock exchange filing. The Gurugram-based home services platform disclosed it held Rs 1,901 crore in cash as of September 30. The company went public in September 2025, raising Rs 472 crore in its initial public offering (IPO).
In a letter to shareholders, Urban Company said the fundraise aims to provide flexibility as its business has grown significantly since listing. The company operates three scaled businesses with proven economics across India Core, International, and Native segments. The capital will support growth in the core business, expansion of Native, strengthening InstaHelp during competitive pressures, and selective inorganic opportunities, the company stated.
Urban Company reported a 41% year-on-year increase in operating revenue to Rs 537 crore for the July-September quarter. However, its net loss tripled to Rs 175 crore, largely due to continued cash burn in the InstaHelp segment, which faces intense competition. The post-discount average order value in InstaHelp declined to Rs 118, reflecting pricing pressures in the instant househelp market.
The company’s financials as of September 30 show Rs 1,901 crore in cash and Rs 119 crore in adjusted EBITDA over the past nine months excluding InstaHelp. The QIP fundraise is intended to sustain growth and support leadership in key segments, as detailed in Urban Company’s stock exchange filing.