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Context is everything.
Detailed stories on technology startups, business and economic current affairs.
Detailed stories on technology startups, business and economic current affairs.
Last valued at upwards of $2 billion, the beauty and home services business gearing up for an IPO is too small and too susceptible to market challenges. Its draft papers are worth a look.
Urban Company recently filed for an initial public offering and one thing surprisingly stands out in the draft papers: its numbers. Our analysis of the balance sheet and income statement suggests that while the beauty and home services firm has executed well, the Indian market, with all its depth, remains a formidable challenge.
First, the mundane details. The draft red herring prospectus shows the company is looking to raise Rs 1,900 crore from its IPO, as against its earlier rumoured target of Rs 3,000 crore. The restrained number reflects market reality, not exuberance. Of that, just Rs 429 crore will …
