Amid a pandemic that has caused businesses to struggle unlike ever before, Indian startups are having the time of their life, with a new unicorn popping up almost every week. This week, it’s Urban Company ‘s turn, which has raised $255Mn in its latest funding round, reaching a massive valuation of $2.1Bn (that’s equal to two unicorns, plus some spare change).
The funding was raised as part of its Series F funding round, led by rosus Ventures, Dragoneer and Wellington Management. Others like Vy Capital, Tiger Global and Steadview also participated in the capital infusion.
Out of this $255Mn, $188Mn came as primary capital infusion, while the rest was secondary sale by some angel and other early investors.
This multibillion dollar valuation comes at a time when Urban Company’s main business is shut down in a major part of the country, thanks to lockdowns. The first half of 2020 was somewhat difficult for the company for the same reason, even though business returned to normal in the second half, with easing restrictions.
However, the reason why the firm’s valuation grew despite tumultuous times is simple. It’s idea is just that good. The company provides almost every home service one can think of, from beauticians and hair dressing to AC repair and painting your house. If you can think of a home service, chances are that Urban Company offers it.
The idea digitizes a massive market, which has been left unorganized for years. Thus, the potential is huge, and investors realize that.
The company has come a long way from its UrbanClap days, and now operates in 35 cities in India, Singapore, Australia, the UAE, and the Kingdom of Saudi Arabia.
Moreover, it ensures quality work, as it only hired highly skilled labor, and provides extensive training to them.
With this massive growth spurt, the company aims to use this new capital to expand even further into its current markets. Moreover, it also aims to develop onboarding process of professionals, and streamline the training process. That’s not all, as it is also looking to expand its technology team.
However, the biggest announcement to come out is probably the IPO, which the company is planning for within the next 24 months. That’s right, with a multibillion valuation, Urban Company is ready to take things one step further, and go public soon.
