Urban Company Shares Jump After SBI Mutual Fund Buys ₹632 Crore Stake

India’s tech-enabled services platform Urban Company witnessed a major shift in its shareholding structure after a series of large block deals on March 17, 2026. The biggest buyer in the transaction was SBI Mutual Fund, which significantly increased its stake in the company. At the same time, several global institutional investors chose to reduce or completely exit their holdings.

The transaction involved the purchase of nearly 5.7 crore shares of Urban Company by SBI Mutual Fund. The shares were bought through two separate bulk deals executed on stock exchanges. According to exchange data, the mutual fund purchased 3.5 crore shares at an average price of ₹109.85 per share and another 2.2 crore shares at ₹109.83 per share. Together, these transactions amounted to an investment of approximately ₹632.2 crore, giving the mutual fund an additional 3.98% stake in the company.

Before this transaction, SBI Mutual Fund already held about 1.89% stake in Urban Company as of the December 2025 quarter. The latest purchases have therefore increased its exposure to the company considerably. The move suggests growing interest from domestic institutional investors in the technology-driven services platform.

While the mutual fund emerged as the major buyer, several global investors were on the selling side of the transaction. One of them was ABG Capital, which sold about 1.74 crore shares, representing roughly 1.2% stake in the company. The sale was executed at around ₹109.85 per share, taking the value of the transaction to about ₹191 crore.

Another investor, DF International Partners II, sold 1.76 crore shares at a similar price level. This transaction represented roughly 1.22% stake in the company and was valued at nearly ₹194 crore. The deal marked a complete exit for this investor from Urban Company.

A third major seller was an investment vehicle of Wellington Management Company, namely Wellington Hadley Harbor AIV Master Investors (Cayman) III. This entity sold around 3.17 crore shares, equivalent to about 2.2% stake in the company. The shares were sold in two transactions at prices of ₹109.93 and ₹109.86 per share, bringing the total value of the deal to roughly ₹349 crore. Similar to DF International Partners, this transaction also marked a full exit for the investor.

Interestingly, despite the large institutional buying, the stock initially saw some volatility. On the day the transactions took place, shares of Urban Company closed about 2.76% lower at ₹110.11. Market experts attributed this to profit booking and the fact that the stock had recently touched an all-time low, which influenced trading activity.

However, in the following session, the market reaction turned positive. Shares of Urban Company rallied strongly in early trade and surged by more than 12%, touching an intraday high of around ₹123.61. The rally was largely driven by increased investor confidence after the large stake purchase by SBI Mutual Fund and the strong trading volumes triggered by the block deals.

The transaction highlights a shift in institutional ownership within the company. While some early investors and global funds have chosen to exit or reduce their holdings, domestic institutional investors are stepping in to increase their exposure. Such transactions often improve liquidity in the stock and can attract fresh investor interest.

Urban Company operates a technology-driven platform that connects consumers with professionals offering home services, beauty treatments, repair work, and wellness services. Over the years, the company has expanded across several Indian cities and international markets, positioning itself as a leading player in the digital home-services ecosystem.

Overall, the latest block deals signal renewed institutional interest in the company while also reflecting a broader reshuffling of investor holdings. The coming quarters will be closely watched to see how the company performs operationally and whether additional institutional investors continue to increase their exposure.