Urban Company, a Home services startup, is all set to join the unicorn club with a market cap of $2 billion. The startup is in advanced talks with existing and new investors to raise the funds. If a current financial round is executed, the company valuation will surge to approximately $2 billion. The current information was leaked by three persons who are well aware of the current transaction.
Details About the Current Financial Round of Urban Company
As per the Entrackr Exclusive report, Urban Company will join the unicorn club with the latest funding raise. The company is in discussion with the investors to raise funds. As per the reports, the talk is in the last stage. Once the financial round is completed, the seven-year-old startup valuation will surge to $2 billion.
Urban Company completed the last financial round in August 2019. Under the E series funding round, the firm raised $75 million to reach a valuation of $933 million, as estimated by Fintrackr.
As per the insiders’ report, investors are showing keen interest in the Urban Company. When asked about the estimated funding raise in the current round and who are the investors that will most probably contribute, internal sources said:
“There has been a lot of interest in the company from internal investors including Tiger Global, Vy Capital and Steadview Capital. New investors such as Falcon Edge, or its related firm AWI, is also in talks to join the round that may go up to $150 million.”
The source further added that Falcon Edge may or may not participate in the current financial round due to some disagreement on terms and conditions. But other investors involvement is almost confirmed.
Another source said:
“The round is almost certain in which Urban Company will be valued in the range of $2 billion.”
Financial Growth of Urban Company
When Entrackr contacted Urban Company related to the current financing round, the company refused to comment. The company’s spokesperson also said that the firm doesn’t entertain the queries related to market speculation. Investors also refused to say anything related to the leaked news.
Urban Company has strengthened its operation very well. This is the main reason why investors are showing interest to join the Urban Company.
The company’s revenue is doubled in the financial year 2020 compared to FY2019. It collected total revenue of Rs 263 crore in FY2020 compared to the Rs 132 crore revenue in FY19. The company recorded a loss of Rs 155 crore in FY2020. Experts estimate that the company may cross the Rs 400 crore revenue in FY21.
Urban Company has raised a total of $180 million in the last five funding rounds. Accel, Ratan Tata, Elevation Capital (previously SAIF Partners), Bessemer Venture Partners are its other investors.
In India, the firm operates in more than 24 cities. The company also has a strong presence in other countries like Australia, Singapore, Abu Dhabi, Dubai and the Kingdom of Saudi Arabia. It claims to have a huge network of 25000+ registered professionals. The company also has a whopping user base of 50 lakh+ satisfied customers.