Urban Company shares surge 14% after SBI MF increase stake with ₹600 crore purchase Shares of Urban Company Ltd. rose as much as 14% on Wednesday, March 18, following a significant stake increase by SBI Mutual Fund. The mutual fund purchased shares worth ₹632.2 crore in a block deal that occurred on Tuesday, representing nearly 4% of the company’s outstanding equity. This move pushed the stock’s price higher, with shares trading at ₹125.42 on Wednesday, up 13.9% from the previous day. The block deal on Tuesday involved the sale of nearly 4.6% of Urban Company’s equity by three entities. Existing shareholders DF International II Fund and Wellington Hadley Harbor sold their entire stakes, marking their exit from the company. ABG Capital, which held a 1.36% stake as of December 31, offloaded 1.2% of its holdings, equivalent to 1.74 crore shares. The sale coincided with the expiration of a six-month lock-in period for shareholders, which freed up 940.9 million shares, or 66% of the company’s total outstanding shares, according to Nuvama Alternative & Quantitative Research. SBI Mutual Fund already held a 1.89% stake in Urban Company as of December 31, and the recent purchase brought its total stake to nearly 4%. The company’s shares had previously surged after its initial public offering (IPO) in September 2025, when they were priced at ₹103 per share. The stock briefly hit a high of ₹201 within days of listing but later reversed course due to concerns over profitability and increased investments in its new Instahelp service. The stock temporarily dipped below the IPO price before rebounding. The recent stake increase by SBI MF has reignited investor interest in the company, which has been navigating challenges related to its business model and financial performance.#urban_company #abg_capital #sbi_mf #df_international_ii_fund #wellington_hadley_harbor
