In Short:
Urban Company, a home services platform, has received $50 million in investment from Dharana Capital. This involved a secondary transaction where Dharana Capital purchased shares from employees and other shareholders. Vamsi Duvvuri, founder of Dharana Capital, will join Urban Company’s board as a non-executive director. With a focus on partner support, Urban Company has built a strong business in challenging markets. The platform connects gig workers with home services and has 57,000 active service partners monthly.
Urban Company Secures $50 Million Investment from Dharana Capital
Exciting news for the team at Urban Company! The home services platform has just announced that they have secured a $50 million investment from Dharana Capital, a growth-stage technology and consumer investment firm focused on India. What makes this investment unique is that it involved a secondary transaction, where Dharana Capital bought shares from employees and other shareholders. This has been the largest liquidity event for Urban Company’s employee stock ownership plan (ESOP) so far.
A Strong Partnership
Vamsi Duvvuri, founder and Managing Partner of Dharana Capital, will be joining the board of Urban Company as a non-executive director. In a statement, Vamsi expressed his admiration for Urban Company’s full-stack approach and focus on partner enablement, highlighting the strong and durable business they have built in a challenging local services market. He also commended the UC founders and team for their focus and execution, pledging continued support for their mission to build a long-lasting institution.
Investments in Innovation
Dharana Capital has a track record of investing in innovative technology and consumer-focused companies in India, including Zopper, Lentra, and NoBroker. NoBroker, in particular, has expanded into at-home salon services, carpentry, and AC repair, offering services similar to Urban Company.
Looking Ahead
Abhiraj Singh Bhal, CEO and co-founder of Urban Company, expressed his excitement about the partnership with Dharana Capital and Vamsi Duvvuri joining their board of directors. Acknowledging Vamsi as a strong partner to Urban Company, Abhiraj looks forward to closer collaboration in the future.
Impressive Growth
Urban Company, known for connecting gig workers with home services, boasts 57,000 active service partners per month. The company was last valued at $2.1 billion after raising $255 million in June 2021, showcasing its remarkable growth and impact in the market.
