NEW DELHI: Innov8, a co-working firm owned by OYO, has sold a 3% stake to investors at a valuation of ₹1,000 crore to fuel its expansion in response to the growing demand for flexible workspaces, according to sources.
Raymond Family Office has emerged as the primary investor, acquiring nearly 2% of the shares.
OYO Group, the parent company, has chosen not to comment on the matter.
Earlier this year, Innov8 raised ₹110 crore from various investors, diluting 10% of its equity to esteemed investors, including the family offices of Gauri Khan, Mankind Pharma, Rupa Group, and Jagruti Dalmia.
Founded in 2015 by Ritesh Malik, Innov8 operates more than 30 centers across ten cities—Delhi, Gurugram, Noida, Mumbai, Pune, Chennai, Bengaluru, Ahmedabad, Hyderabad, and Indore.
The company has achieved over 90% occupancy in its centers, spurred by an increased demand for flexible office spaces, and plans to expand to 100 centers by the end of the year.
Innov8 reported a profit after tax of ₹62 crore for 2023-24, a significant rise from ₹2.5 crore in FY23.
Post-COVID, the demand for managed flexible workspaces has surged, as companies of all sizes prefer co-working centers to minimize capital expenditure, according to property experts.
According to real estate consultant Vestian, co-working operators are expected to control over 100 million square feet of office space by the end of 2026.
OYO Group manages over 150,000 hotel and home listings in more than 35 countries and provides a range of technology-driven products and solutions for the hospitality industry globally, including in the US, Europe, Southeast Asia, and the UK.
