NEW DELHI: The initial public offering (IPO) of WeWork India Management Ltd was successfully subscribed 1.15 times on the final day of the sale, thanks in large part to institutional investors. The IPO, valued at Rs 3,000 crores, received bids for 2,92,68,328 shares against 2,54,89,748 shares on offer, as reported by NSE data.
In the Qualified Institutional Buyers (QIBs) category, the subscription rate reached 1.79 times, while the Retail Individual Investors (RIIs) segment drew 61% interest. The non-institutional investors’ portion saw a subscription of 23%.
WeWork India has secured over Rs 1,348 crores from its anchor investors. The company’s issue has a price range of Rs 615-648 per share, projecting a market valuation of around Rs 8,685 crores at the higher end of the range.
This IPO is entirely an offer for sale encompassing up to 4.63 crore equity shares, with the promoter group entity Embassy Buildcon LLP and investor 1 Ariel Way Tenant Ltd (part of WeWork Global) divesting their stakes.
Since this is an Offer For Sale (OFS), WeWork India will not receive any funds from this issue; proceeds will go solely to the selling shareholders.
In its draft documents, WeWork India indicated that the purpose of the offer is to achieve the listing of its equity shares on stock exchanges, enhancing visibility, providing liquidity, and creating a public market for its shares in India.
Founded in 2017, WeWork India operates under an exclusive license of the WeWork brand in India by Bengaluru-based Embassy Group. Currently, it operates in major Tier-1 cities, including Bengaluru, Mumbai, Pune, Hyderabad, Gurugram, Noida, Delhi, and Chennai, managing 77 lakh sq ft of space, with 70 lakh sq ft operational and a desk capacity of 1.03 lakh. The firm employs over 500 people.
