Team Startupcity

• WeWork India’s public issue subscribed just 2% on the first day, with highest interest from employees’ portion.
• The company raised Rs 1,348 crore from 67 anchor investors ahead of its public listing.
• WeWork India reduced net loss by 51.5% and aims to raise up to Rs 3,000 crore, becoming the fifth listed coworking space provider in India.

WeWork India, a leading coworking space provider, saw a slow start to its initial public offering (IPO) on the first day of bidding, with the public issue subscribed just 2% by 12:15 PM. The IPO received bids for 5.1 lakh shares against 2.54 crore shares on offer.

Among the categories, the employees’ portion saw the highest subscription at 0.57X, with bids for 33,000 shares against 59,000 shares on offer. Retail investors bid for 4.2 lakh shares against 46.23 lakh shares available, resulting in a 0.09X subscription. Non-institutional investors (NIIs) placed bids for 55,000 shares against 69.35 lakh reserved for them, giving a 0.1X subscription. The IPO did not receive any bids from qualified institutional buyers (QIBs).

Before the public issue opened, WeWork India raised Rs 1,348.3 crore from anchor investors on October 1. The company allocated 2.08 crore shares to 67 anchor investors, including Whiteoak Capital, Goldman Sachs, Nippon India, ICICI Prudential, HDFC Mutual Fund, Aditya Birla Sun Life, Susquehanna Pacific, Motilal Oswal, and Societe Generale.

WeWork India has set a price band of Rs 615 to Rs 648 for its IPO, which is entirely an offer for sale (OFS) of up to 4.62 crore shares. Promoter Embassy Buildcon LLP plans to sell up to 3.54 crore shares, while WeWork International Ltd’s subsidiary, 1 Ariel Way Tenant Limited, will sell up to 1.08 crore shares. At the upper price band of Rs 648, the IPO could raise Rs 3,000 crore, giving the company a valuation of Rs 8,684 crore ($978.6 million).

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WeWork India filed its draft red herring prospectus (DRHP) with SEBI in January, but SEBI kept it on hold in March before finally granting approval in July. After listing, WeWork India will become the fifth publicly listed coworking space provider in India, following Awfis, Smartworks, IndiQube, and DevX.

On the financial front, WeWork India reduced its net loss by 51.5% to Rs 14.1 crore in Q1 FY26 from Rs 29.2 crore a year ago. Operating revenue rose 19.3% to Rs 535.3 crore from Rs 448.7 crore in Q1 FY25, showing improving business performance ahead of its market debut.