Handy Said Raising Funds Seeking Value at $500 Million

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Handy Technologies Inc. may soon polish off a new round of funding.

The provider of on-demand services such as housekeeping and plumbing is in talks to raise up to $50 million at a valuation of as much as $500 million, people with knowledge of the matter said. The company is working with Credit Suisse Group AG on the financing, said the people, who asked not to be identified because the information is private.

Handy is meeting both with venture capital firms and strategic partners about investing in the latest funding round, one of the people said. The amount of financing and valuation the company receives depends on which type of investor participates, the person said.

A spokesman for Handy declined to comment, as did a spokeswoman for Credit Suisse.

On-demand companies -- in which providers and users connect through mobile applications -- have raised $9.4 billion over the past five years, according to a May report by industry research firm CB Insights. New York-based startups, such as Handy, accounted for 18 percent of deals, the report shows.

Oisin Hanrahan, the chief executive officer, and Umang Dua, the operating chief, met in 2011 and co-founded the company in 2012.

Started as Handybook, the company connects people with screened professionals who provide household services including TV mounting, painting and moving. It handles bookings and payments and offers a money-back guarantee to the thousands of customers who use its site every week, according to its website.

In June, Handy said it had completed 1 million bookings through its mobile and online platforms.

Highland Capital Partners, General Catalyst Partners and BoxGroup are existing investors, the website shows.

(An earlier version of this story was corrected to show that Highland Capital Partners is an investor.)

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