Smartworks Coworking Spaces Ltd has submitted initial paperwork to the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO)
The IPO will consist of a fresh issue of equity shares valued at Rs 550 crore and an Offer For Sale (OFS) of 67.59 lakh shares by the company’s promoters, according to the Draft Red Herring Prospectus (DRHP).
The company may also raise Rs 110 crore through a pre-IPO placement, which would reduce the amount of the fresh issue accordingly.
The funds from the fresh issue are planned to be used as follows: Rs 282.30 crore will be allocated for capital expenditure related to fit-outs and security deposits for new centres, Rs 140 crore will go towards repaying loans, and the remainder will be used for general corporate purposes.
Smartworks Coworking Spaces Ltd specializes in converting large, bare-shell properties into fully serviced, tech-enabled workspaces with modern amenities, including cafeterias, sports zones, gyms, crèches, and medical centres. The company focuses on serving mid-to-large businesses needing more than 300 seats, with a presence in cities such as Bengaluru, Mumbai Metropolitan Region, Hyderabad, Gurugram, and Chennai.
As of March 31, 2024, India’s commercial office space totals approximately 841.2 million square feet, expected to grow at an annual rate of 6.71% to 1,079.3 million square feet by 2027. Flexible workspaces are increasingly integral to modern work environments, offering versatility and adaptability.
The IPO process will be managed by JM Financial Ltd, BOB Capital Markets Ltd, IIFL Securities Ltd, and Kotak Mahindra Capital Company Ltd.
(With inputs from agency)
Share your news, articles, deals, columns, or press releases with us! Click the link to submit and join our platform today.
