Views on Urban company IPO

[hender]

What's your Views on Urban company IPO

Financial: Not impressive previous 2 FY.
OFS: out of 1900 CR IPO- 1428 is OFS.

 

[rajarancho]

I check gmp and apply. Sell on listing day.

 

[Animal]

I’m skipping this.

 

[aayusharyan]

What's your Views on Urban company IPO

Financial: Not impressive previous 2 FY.
OFS: out of 1900 CR IPO- 1428 is OFS.

I am skipping this, I don't want to invest in such companies after the recent falls...
Once bitten, twice shy

 

[ccninja]

why the gmp is high when are already in loss, multiple years

 

[aayusharyan]

I checked the RHP, it looks like the promoters are trying to just dump the shares.

Conclusion​

Strictly on the basis of share count (ignoring price/valuation) and assuming the IPO is fully subscribed:


👉 The IPO will result in 78.90% of the company’s shares being held by the public.


This percentage reflects the dilution and total shareholding distribution after the fresh issue plus offer for sale.


Would you like me to also break down how much of that 78.9% comes from the fresh issue versus the offer for sale?

 

[aayusharyan]

For a mid-cap Indian company that is stable and looking to raise capital while ensuring good market reception, the ideal public shareholding at IPO (by share count) usually falls in a sweet spot of ~25–30% of post-issue capital.


Here’s why that range works best:

• Liquidity: At ~25–30% float, there are enough shares in the market for institutional and retail investors to trade actively, which improves price discovery and reduces volatility.
• Regulatory alignment: SEBI’s long-term requirement is 25% minimum public shareholding, so being close to that at listing is practical and compliant.
• Control balance: Promoters still retain majority control (70–75%), while giving public investors a meaningful stake.
• Market perception: Too small (<15%) looks illiquid/manipulated; too large (>40%) may raise concerns that promoters are exiting heavily.

---

✅ So, ideally: around 25–30% public holding post-IPO is considered healthy for mid-cap Indian IPOs.


Do you want me to also compare this “ideal” percentage with what has actually happened in a few recent Indian mid-cap IPOs (say 2023–2025) so you can see the pattern?

 

[rajarancho]

I checked the RHP, it looks like the promoters are trying to just dump the shares.

View attachment 109710

Conclusion​

Strictly on the basis of share count (ignoring price/valuation) and assuming the IPO is fully subscribed:


👉 The IPO will result in 78.90% of the company’s shares being held by the public.


This percentage reflects the dilution and total shareholding distribution after the fresh issue plus offer for sale.


Would you like me to also break down how much of that 78.9% comes from the fresh issue versus the offer for sale?

Pump and dump scheme lagtha hai..

 

[aayusharyan]

Pump and dump scheme lagtha hai..

Exactly, that's why recently they also spent money in ads and influencers and all and launched the maid service, (even though it is a loss making thing for them).

 

[hender]

I checked the RHP, it looks like the promoters are trying to just dump the shares.

View attachment 109710

Conclusion​

Strictly on the basis of share count (ignoring price/valuation) and assuming the IPO is fully subscribed:


👉 The IPO will result in 78.90% of the company’s shares being held by the public.


This percentage reflects the dilution and total shareholding distribution after the fresh issue plus offer for sale.


Would you like me to also break down how much of that 78.9% comes from the fresh issue versus the offer for sale?

You are a master, basic things are visible directly without much digging 👊

 

[aayusharyan]

You are a master, basic things are visible directly without much digging 👊

Hehe, thanks bro.