The initial public offering (IPO) of WeWork India Management Ltd, the co-working space operator, received a 4% subscription on the first day of its share sale on Friday.
According to NSE data, the IPO attracted bids for 11,10,440 shares against 2,54,89,748 shares available. Among categories, the retail individual investors (RIIs) quota reached 14% subscription, while the qualified institutional buyers (QIBs) and non-institutional investors (NIIs) each subscribed 2%.
Before the IPO opened, the company raised more than ₹1,348 crore from anchor investors. The company’s ₹3,000-crore issue will remain open until October 7, with a price band set at ₹615–648 per share. At the upper end of this band, the company’s valuation stands at around ₹8,685 crore.
The IPO consists entirely of an offer for sale (OFS) of up to 4.63 crore equity shares, through which promoter group entity Embassy Buildcon LLP and investor 1 Ariel Way Tenant Ltd (a part of WeWork Global) will offload their stakes. Currently, Embassy Group holds 76.21% in WeWork India, while WeWork Global owns 23.45%.
In its draft prospectus, WeWork India highlighted that the primary objective of the offer is to gain the benefits of listing on stock exchanges. The company expects the listing to improve visibility, provide liquidity to current shareholders, and establish a public market for its shares in India.
Founded in 2017, WeWork India operates under an exclusive license of the WeWork brand, promoted by Bengaluru-based real estate developer Embassy Group. At present, the company manages 77 lakh sq. ft. of workspace across Tier-1 cities such as Bengaluru, Mumbai, Pune, Hyderabad, Gurugram, Noida, Delhi, and Chennai. Of this, 70 lakh sq. ft. is operational, with a total desk capacity of 1.03 lakh. The firm currently employs over 500 people.
