Home services firm Urban Company raises USD 255 million, now valued at USD 2.1 billion

On-demand home services provider Urban Company today said it has raised USD 255 million (about Rs 1,857 crore) in funding led by Prosus Ventures, Dragoneer and Wellington Management, ahead of its plans to launch an IPO in the next two years.

(from left) Varun Khaitan, Raghav Chandra and Abhiraj Singh Bhal, the co-founders of Urban Company. Photo courtesy: Urban Company
(from left) Varun Khaitan, Raghav Chandra and Abhiraj Singh Bhal, the co-founders of Urban Company. Photo courtesy: Urban Company

The series F round – which also saw participation from Vy Capital, Tiger Global and Steadview – takes Urban Company’s valuation to USD 2.1 billion.

The latest round includes a primary capital infusion of USD 188 million and a secondary sale of approximately USD 67 million by select angels and early investors, Urban Company CEO and co-founder Abhiraj Singh Bhal said.

“Urban Company strives to provide comfort and convenience at the doorstep of its consumers. Therefore, it has become the preferred option for all home services’ needs. With this funding, we plan to rapidly scale our business while continuing to invest further in the safety of our consumers and service partners, training of partners and product development," he added.

Founded in November 2014, Urban Company is a tech-enabled home services marketplace. The company offers services such as beauty and spa at home, cleaning, plumbing, carpentry, appliance repair, painting, etc. through its mobile app and website. It operates in 35 cities in India, the UAE, Singapore. Australia and the Kingdom of Saudi Arabia, a company release read.

Currently, Urban Company has more than 35,000 service partners across 35 cities in India, the UAE, Singapore, Australia and the Kingdom of Saudi Arabia. The marketplace offers a variety of home services to consumers across categories like beauty and personal care, cleaning services, plumbing, carpentry and appliance repairs.

The company also aims to increase its geographic footprint by entering the top 100 cities in India by 2022 and further expanding into international markets.

Bhal said the company has also been focussed on upskilling and training its service partners. The number of partners is set to grow in line with its expansion into more cities.

Talking about the impact of pandemic on business, Bhal said while there was significant impact initially but the situation has changed now.