Proptech Unicorn Square Yards Plans $200-300 Million IPO
Proptech unicorn Square Yards has engaged leading bankers for an Initial Public Offering (IPO) aiming to raise $200-300 million in the next financial year. This development follows its recent ₹900 crore funding round, which officially conferred unicorn status with a valuation exceeding $1 billion. The company targets a $2 billion valuation for its public listing.
Key Highlights
- Square Yards targets $200-300 million IPO by March 2027.
- Company aims for $2 billion valuation in public offering.
- Engaged Axis Capital, JP Morgan, and BofA Securities for IPO.
- Recently achieved unicorn status with $95 million funding round.
- Reported strong FY26 revenue growth of 48% to ₹2,086 crore.
- Operates integrated real estate services across four countries.
Indian proptech unicorn Square Yards is actively preparing for an Initial Public Offering (IPO), aiming to raise between $200 million and $300 million in the upcoming financial year, which concludes by March 2027. This significant development, initially reported by Mint, highlights the company's ambition to achieve a valuation of approximately $2 billion through its public listing.
To facilitate this IPO, Square Yards has engaged prominent financial institutions, including Axis Capital, JP Morgan, and BofA Securities. The planned listing is expected to comprise a blend of fresh equity issuance and an offer for sale by existing investors, indicating a strategy to both inject new capital for growth and provide an exit opportunity for early backers.
This move to go public comes on the heels of Square Yards officially achieving unicorn status. In a recent funding round, the Gurugram-based real estate and mortgage platform secured ₹900 crore (approximately $95 million) through a mix of debt and equity. This capital infusion, anchored by EAAA Alternatives with participation from global corporate credit manager Muzinich & Co., pushed the company's valuation past the $1 billion mark.
Square Yards has demonstrated robust financial performance, underpinning its readiness for a public debut. For the fiscal year 2026 (FY26), the company reported impressive revenues of ₹2,086 crore, which translates to approximately $223 million. This represents a substantial 48% year-on-year growth. Furthermore, its Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) surged 3.7 times to ₹176 crore (approximately $19 million) during the same period. The company has maintained a five-year compound annual growth rate (CAGR) of approximately 53% in terms of revenue, reflecting sustained expansion.
The fresh capital from the recent funding round is earmarked for strategic investments, including strengthening its technological backend, funding further market expansion, and shoring up its balance sheet in preparation for the IPO. Square Yards is also reportedly looking to secure an additional $50-60 million over the next quarter as part of its pre-IPO fundraising strategy, potentially at a $1.6 billion valuation.
Founded in 2014 by Tanuj Shori and Kanika Gupta Shori, Square Yards has evolved into a comprehensive, integrated real estate ecosystem. It offers a wide array of services spanning property search and transactions, home loans (through its subsidiary Urban Money), interior design solutions (Interior Company), and property management (Azuro). This full-stack approach positions the company to capitalize on various segments of the real estate value chain. Urban Money, its mortgage marketplace, has been a significant growth driver, facilitating loan disbursals worth ₹87,831 crore (over $9 billion) in FY26 through a network of over 150 banking partners.
With an operational footprint that extends beyond India to the UAE, Australia, and Canada, Square Yards serves a diverse customer base. The Indian real estate sector, buoyed by rapid urbanization, a growing middle class, and robust regulatory frameworks, provides a fertile ground for proptech platforms. The increasing digital adoption in property transactions further strengthens the position of integrated platforms like Square Yards. The company has successfully built a profitable and scalable platform over the years, making it an attractive prospect for public investors.
This impending IPO marks a significant milestone for Square Yards and reflects the increasing maturity and investment appetite for proptech companies in India and globally. It also signifies the growing confidence in technology-driven solutions to streamline the traditionally complex real estate market.
Frequently Asked Questions
What is Square Yards' current valuation and how did it achieve unicorn status?
Square Yards recently achieved unicorn status with a valuation exceeding $1 billion, following a ₹900 crore (approximately $95 million) funding round. This round was a mix of debt and equity, anchored by EAAA Alternatives and involving Muzinich & Co.
What are the key details of Square Yards' planned IPO?
Square Yards plans to raise $200-300 million through an IPO in the next financial year (by March 2027), aiming for a $2 billion valuation. They have engaged Axis Capital, JP Morgan, and BofA Securities to manage the public offering.
How has Square Yards performed financially recently?
For FY26, Square Yards reported revenues of ₹2,086 crore (approx. $223 million), a 48% year-on-year growth. Its EBITDA also significantly increased by 3.7 times to ₹176 crore (approx. $19 million) in the same period.
What services does Square Yards offer and where does it operate?
Square Yards offers an integrated ecosystem of real estate services including property search, transactions, home loans (Urban Money), interior design (Interior Company), and property management (Azuro). It operates across India, the UAE, Australia, and Canada.
Are there any further funding plans before the IPO?
Yes, Square Yards is reportedly looking to close an additional $50-60 million funding round over the next quarter as part of its pre-IPO strategy, potentially at a $1.6 billion valuation.