WeWork India IPO closes on last day with 1.15 times subscription

WeWork India has collected a little over ₹1,348 crore from anchor investors

The initial public offer of co-working space operator WeWork India Management Ltd sailed through on the last day of the share sale on Tuesday, getting 1.15 times subscription, led by institutional buyers.

The Rs 3,000-crore IPO received bids for 2,92,68,328 shares against 2,54,89,748 shares on offer, according to NSE data.

Qualified Institutional Buyers' (QIBs) category fetched 1.79 times subscription, while the quota for Retail Individual Investors (RIIs) received 61 per cent subscription. The portion for non-institutional investors got 23 per cent subscription.

WeWork India has collected a little over Rs 1,348 crore from anchor investors.

The company's issue has a price band of Rs 615-648 per share, valuing the company at around Rs 8,685 crore at the upper end.

The initial public offer (IPO), entirely an offer for sale of up to 4.63 crore equity shares, saw promoter group entity Embassy Buildcon LLP and investor 1 Ariel Way Tenant Ltd (part of WeWork Global) divest their stakes.

Since the issue is an OFS, WeWork India will not receive any proceeds from the issue, and the funds will go entirely to selling shareholders.

In its draft papers, WeWork India stated that the objective of the offer is to achieve the benefits of listing its equity shares on the stock exchanges. The company expects the listing to enhance visibility, provide liquidity to existing shareholders, and establish a public market for its stock in India.

Founded in 2017, WeWork India operates under an exclusive licence of the WeWork brand in India, promoted by Bengaluru-based real estate developer Embassy Group.

At present, WeWork India operates across Tier-1 cities, including Bengaluru, Mumbai, Pune, Hyderabad, Gurugram, Noida, Delhi, and Chennai, managing 77 lakh sq ft of space, of which 70 lakh sq ft is operational, with a desk capacity of 1.03 lakh. The firm employs over 500 people.