Urban Company's shares fall below IPO price: What's the reason?
What's the story
Urban Company's shares have fallen below their initial public offering (IPO) price of ₹103. The stock fell 4.3% to hit an intraday low of ₹102.48 today. Last week, the shares fell for five consecutive trading sessions and have declined in seven out of the last nine sessions. This comes after a strong listing on September 17, 2025, when the stock debuted at a premium of around 60% over its IPO price.
Market performance
Shares have fallen 49% from post-listing high
After its listing, Urban Company's shares surged over 95% to reach a post-listing high of ₹201.18 per share. However, the stock has since fallen by 49% from those levels as of today. The company is facing a critical month with two shareholder lock-in period expirations on the horizon, which could further impact its share price performance in the near term.
Lock-in details
Upcoming lock-in period expirations could weigh on stock performance
On March 5, seven million shares or 0.5% of Urban Company's outstanding equity will be eligible for trade as its six-month post-listing lock-in period ends. At the current market price, these shares are worth ₹71.73 crore. A bigger lock-in expiration is due on March 17, when 940.9 million stocks or 66% of its outstanding equity will be eligible for trade at the current market price of ₹9,642 crore.