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Views on Urban company IPO
- Thread starter hender
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- Replies 36
- Views 477
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- ipo urban company
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rajarancho
TF Premier
I check gmp and apply. Sell on listing day.
I am skipping this, I don't want to invest in such companies after the recent falls...
Once bitten, twice shy
I checked the RHP, it looks like the promoters are trying to just dump the shares.
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?
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?
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
TF Premier
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).
You are a master, basic things are visible directly without much digging 👊
Hehe, thanks bro.
sunit123
TF Legend
bhai logically, each IPO is dump by promoters/investors.
mayankcse10
TF Premier
For which index are you considering an EPS of 10? Nifty 50 EPS is around 1140.
sunit123
TF Legend
Sorry for typo...read EPS 10% growth..Check following postFor which index are you considering an EPS of 10? Nifty 50 EPS is around 1140.
Why Are FPIs Selling?
You can't be the second-most expensive market in the world and deliver just 10 per cent EPS growth, points out Akash Prakash.
mayankcse10
TF Premier
Yeah, valuation-wise, I know the arguments. But that EPS number shocked me 🙂Sorry for typo...read EPS 10% growth..Check following post
Why Are FPIs Selling?
You can't be the second-most expensive market in the world and deliver just 10 per cent EPS growth, points out Akash Prakash.www.rediff.com
Subscribed, five units.
The potential of this company in the future looks promising. And above all, my opinion is that if you don't understand anything about stock market or company, there is this simple rule I follow: buy the stock of a company which I use. URBAN COMPANY is one among them.
Again, just my opinion.
That's why the thread is created...
How people use the product and services, and the outlook about the company as a customer as investor...
Thanks for sharing your inputs. 👍
If it ofs, promoter / investors get money directly. Otherwise, company gets money. In this case, ofs is big part of IPO.
Why will current investors not waiting for listing ( or an year if there is any lock-in)?
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