Latest news with #SmartworksCoworking
Mint
2 days ago
- Business
- Mint
Smartworks Coworking IPO Day 1: Issue booked 50% on first day; check GMP, subscription status, other details
Smartworks Coworking IPO Subscription Status: The initial public offering (IPO) of Smartworks Coworking hit the halfway mark on the first day of the bidding process on Thursday, with the non-institutional investors leading the charge. The grey market premium (GMP) trend for Smartworks Coworking IPO remained healthy amid a lacklustre Indian stock market. Smartworks Coworking IPO was subscribed 50% at the end of the first day of the book-building process. The retail portion was subscribed 57%, while the NII portion sailed through, garnering 1 times bids. The qualified institutional buyers portion did not see any bids today, and the employee portion was booked 47%. Smartworks Coworking IPO GMP today is ₹ 32. This means shares of Smartworks Coworking are trading ₹ 32 higher than their IPO price in the grey market. At the prevailing GMP and upper end of the IPO price band, Smartworks Coworking shares could list at ₹ 439 apiece on the exchanges, a premium of nearly 8%. However, investors must note that GMPs are subject to change and should not be the only factor determining their investment choice. They should also consider company fundamentals and risk appetite before investing. Smartworks, which is India's largest managed campus operator, launched its IPO on Thursday, July 10, with the issue set to remain open till Monday, July 14. Smartworks Coworking IPO, worth ₹ 582.6 crore, is a mix of fresh issue of ₹ 455 crore and offer for sale of ₹ 137.6 crore. Smartworks Coworking Spaces IPO price band is set at ₹ 387 to ₹ 407 apiece, with a bid lot size of 36 shares and its multiples thereof. For retail investors, the minimum application price is ₹ 14,652 based on the upper end of the price band. IPO proceeds will be used for partial pre-payment of certain borrowings, capex for fit-outs in the new centres and for security deposits of the new centres, and general corporate purposes. In terms of financial performance, SmartWorks revenue from operations grew at a CAGR of 38.9% from ₹ 711 crore to ₹ 1,374 crore between FY23-FY25, , driven by aggressive office space expansion and steady demand from enterprise clients. EBITDA grew from ₹ 424 crore to ₹ 857 crore between the same period. Over the past three years, the company has reported losses at the PAT level due to heavy depreciation and other non-cash items, despite generating positive operating cash flows. It has a net debt of ₹ 299 crore. Analysts remained mixed on Smartworks Coworking's IPO. Geojit Financial Services recommended a Subscribe rating to the IPO. "Given its asset-light business model, capital efficiency through variable rental and management contracts, and the scale up of new revenue streams (like value-added services & fit–out as a service), which are margin accretive, further strengthen the business going forward. Hence, we recommend a 'Subscribe' rating on a long-term basis," the brokerage said. However, analysts at Ventura said they would recommend monitoring PBT turning positive with economies of scale improving further, without assigning any rating. Canara Bank Securities had an Avoid rating, while MasterTrust said investors looking for long-term opportunities may consider investing in the IPO. Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Time of India
2 days ago
- Business
- Time of India
Smartworks Coworking Spaces IPO: GMP rises to 7%; issue subscribed 11% on day 1
The initial public offering (IPO) of Smartworks Coworking Spaces saw a muted start, with 11% subscription recorded as of 10:57 am on Day 1 of bidding, Thursday, July 10. The offer received bids for 11.64 lakh shares against the total issue size of 1.04 crore shares. Demand was led by non-institutional investors (NIIs), who subscribed 18% of their allotted quota, followed by retail investors at 15%. The employee reserved portion was also subscribed 18%. However, the qualified institutional buyer (QIB) segment was yet to see any bids. Smartworks Coworking IPO GMP Meanwhile, in the grey market, Smartworks shares were trading at a premium of Rs 30–32 over the issue price, up from Rs 25–27 ahead of the IPO launch. This translates to a grey market premium (GMP) of about 7%, compared to around 6% previously. Smartworks Coworking IPO Details Smartworks is looking to raise between Rs 576 crore and Rs 583 crore through a combination of a fresh issue and an offer for sale. The IPO will remain open for subscription until July 14, with listing scheduled for July 17 on the BSE and NSE. The issue comprises a fresh equity issue worth Rs 445 crore and an offer for sale of 33.79 lakh shares. The price band has been fixed at Rs 387–407 per share, with an employee discount of Rs 37. Bidding is available in lots of 36 shares and in multiples thereafter. Company Overview Founded in 2015, Smartworks is India's largest managed workspace operator by leased area, with over 8.99 million sq ft across 50 centres in 15 Indian cities as of March 31, 2025. The company also has two operational centres in Singapore. Smartworks primarily serves mid-to-large enterprises across sectors such as IT, BFSI, and startups. It operates on a straight lease model, and is gradually adopting variable rental agreements to improve cost efficiency. Use of Proceeds Of the net proceeds, Rs 225.8 crore will be used for fit-outs and security deposits at new centres, while Rs 114 crore is earmarked for debt repayment. The remaining funds will be used for general corporate purposes. Financials Smartworks has demonstrated strong top-line growth. Revenue from operations nearly doubled from Rs 711.39 crore in FY23 to Rs 1,374.05 crore in FY25. EBITDA also saw significant improvement, rising to Rs 857.26 crore in FY25. However, the company continues to be loss-making, posting a net loss of Rs 63.17 crore for FY25, although margins have steadily improved. As of March 2025, the company had an occupancy rate of 83.1%, serving 738 enterprise clients across a seating capacity of over 2 lakh. Smartworks' offerings include value-added services such as wellness zones, convenience stores, and design-build (FaaS) solutions, aimed at enhancing its enterprise-first positioning. Book-Running Lead Managers The IPO is being managed by JM Financial , BOB Capital Markets, IIFL Securities , and Kotak Mahindra Capital. ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
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Business Standard
2 days ago
- Business
- Business Standard
Smartworks Coworking ₹582-cr IPO kicks off today; should you apply or not?
Smartworks Coworking IPO: Gurugram-based Smartworks Coworking Spaces, a workspace solutions company, is set to launch its initial public offering (IPO) today, July 10, 2025. At the upper end of the price band of ₹387 to ₹407, the company aims to raise ₹582.56 crore. Ahead of the opening of the issue, Smartworks raised around ₹174 crore from anchor investors. The company allotted 4.27 million equity shares at the upper price band of ₹407 per share with a face value of ₹10 per share to 13 anchor investors, according to the exchange filing. Out of the total allocation, 32.04 per cent was allocated to three domestic mutual funds, including Tata Mutual Fund, Baroda BNP Paribas and Trust Mutual Fund, which have applied through a total of four schemes. Other investors are Axis New Opportunities AIF - Series II, SBI General Insurance Company Ltd, Aditya Birla Sun Life Insurance Company Ltd, Buoyant Opportunities Strategy II, Societe Generale, among others. Smartworks Coworking IPO GMP The unlisted shares of Smartworks were trading at ₹439 in the grey market, up ₹32 or 7.8 per cent from the upper end price, according to sources tracking unofficial market activities. Check Travel Food Services IPO allotment status Smartworks Coworking IPO: Should you subscribe or not? Anand Rathi Research - Subscribe for long term According to analysts at Anand Rathi Research, Smartworks runs a cost-efficient and scalable model with fit-out and operating costs significantly lower than industry benchmarks. The company is also shifting to an asset-light strategy through variable rental and management contracts, improving capital efficiency. Additional revenue streams like value-added services and Fit-out-as-a-Service further strengthen its business. "At the upper price band, the company is valued at P/S of 3.3x with EV/Ebitda of 9.7x and market cap of ₹4,644.8 crore post issue of equity shares," the brokerage said in a research note. Analysts believe that the IPO is fully priced and recommend a 'Subscribe- Long term' rating to the IPO. Smartworks Coworking IPO details Smartworks Coworking is a book-built issue comprising a fresh issue of 10.9 million equity shares aggregating to ₹455 crore and an offer for sale (OFS) of 3.4 million shares aggregating to ₹137.56 crore. NS Niketan, SNS Infrarealty and Space Solutions India are the selling shareholders. Investors can bid for a minimum of one lot or 36 shares of Smartworks and in multiples thereof. According to the red herring prospectus (RHP), the company intends to utilise the net fresh issue proceeds to repay debt and capital expenditure for fit-outs in the New Centres and for security deposits of the New Centres. The remaining funds will be used for general corporate purposes. The three-day subscription window to bid for the issue will conclude on Monday, July 14, 2025. Following the closure of the subscription window, the basis of allotment of shares is likely to take place on Tuesday, July 15, 2025. Shares of Smartworks are scheduled to make their D-street debut on Thursday, July 17, 2025, by listing on the BSE and NSE.
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Business Standard
2 days ago
- Business
- Business Standard
Smartworks Coworking ₹582 crore IPO kicks of today; should you apply or not
Smartworks Coworking IPO: Gurugram-based Smartworks Coworking Spaces, a workspace solutions company, is set to launch its initial public offering (IPO) today, July 10, 2025. At the upper end price, the company aims to raise ₹582.56 crore. Ahead of the opening of the issue, Smartworks raised around ₹174 crore from anchor investors. The company allotted 4.27 million equity shares at the upper price band of ₹407 per share with a face value of ₹10 per share to 13 anchor investors, according to the exchange filing. Out of the total allocation, 32.04 per cent was allocated to three domestic mutual funds, including Tata Mutual Fund, Baroda BNP Paribas and Trust Mutual Fund, which have applied through a total of four schemes. Other investors are Axis New Opportunities AIF - Series II, SBI General Insurance Company Ltd, Aditya Birla Sun Life Insurance Company Ltd, Buoyant Opportunities Strategy II, Societe Generale, among others. Smartworks Coworking IPO GMP The unlisted shares of Smartworks were trading at ₹439 in the grey market, up ₹32 or 7.8 per cent from the upper end price, according to sources tracking unofficial market activities. Smartworks Coworking IPO: Should you subscribe or not? Anand Rathi Research - Subscribe for long term According to analysts at Anand Rathi Research, Smartworks runs a cost-efficient and scalable model with fit-out and operating costs significantly lower than industry benchmarks. The company is also shifting to an asset-light strategy through variable rental and management contracts, improving capital efficiency. Additional revenue streams like value-added services and Fit-out-as-a-Service further strengthen its business. "At the upper price band, the company is valued at P/S of 3.3x with EV/Ebitda of 9.7x and market cap of ₹4,644.8 crore post issue of equity shares," the brokerage said in a research note. Analysts believe that the IPO is fully priced and recommend a 'Subscribe- Long term' rating to the IPO. Smartworks Coworking IPO details Smartworks Coworking is a book-built issue comprising a fresh issue of 10.9 million equity shares aggregating to ₹455 crore and an offer for sale (OFS) of 3.4 million shares aggregating to ₹137.56 crore. NS Niketan, SNS Infrarealty and Space Solutions India are the selling shareholders. Smartworks IPO is available at a price band of ₹387-407 per share, with a lot size of 36 shares. Accordingly, investors can bid for a minimum of one lot or 36 shares of Smartworks and in multiples thereof. According to the red herring prospectus (RHP), the company intends to utilise the net fresh issue proceeds to repay debt and capital expenditure for fit-outs in the New Centres and for security deposits of the New Centres. The remaining funds will be used for general corporate purposes. The three-day subscription window to bid for the issue will conclude on Monday, July 14, 2025. Following the closure of the subscription window, the basis of allotment of shares is likely to take place on Tuesday, July 15, 2025. Shares of Smartworks are scheduled to make their D-street debut on Thursday, July 17, 2025, by listing on the BSE and NSE. MUFG Intime India, formerly Link Intime, is the registrar for the issue. JM Financial, BOB Capital Markets, IIFL Capital Services, and Kotak Mahindra Capital Company are the book-running lead managers.
Mint
3 days ago
- Business
- Mint
Smartworks Coworking IPO day 1 Live: GMP, subscription status, review, other details. Good or bad bet for investors?
Smartworks Coworking IPO: The initial public offering (IPO) of Smartworks Coworking Spaces Ltd has hit the Indian primary market today. The public offer will remain open for bidders until 14 July 2025. This means the initial offer will remain open for bidders from Thursday this week to Monday next week. Bidding for the public issue will open at 10:00 AM today. The Company has declared the Smartworks Coworking IPO price band at ₹ 387 to ₹ 407 per equity share. It aims to raise ₹ 582.56 crore, of which ₹ 137.56 crore is reserved for offer-for-sale (OFS). The remaining ₹ 445 crore is expected through the issuance of fresh shares. Smartworks Coworking IPO is proposed for listing on the BSE and the NSE. Ahead of the Smartworks Coworking IPO opening, company shares have debuted in the grey market. According to the market observers, Smartworks Coworking Spaces Ltd shares are available at a premium of ₹ 29 in the grey market today. 1] Smartworks Coworking IPO GMP today: According to the market observers, Smartworks Coworking Spaces Ltd shares are available at a premium of ₹ 29 in the grey market today. 2] Smartworks Coworking IPO subscription date: The public issue has opened today and will remain open until 14 July 2025. 3] Smartworks Coworking IPO price: The Company has declared an IPO price band of ₹ 387 to ₹ 407 per equity share. 4] Smartworks Coworking IPO size: The public issue aims to raise ₹ 582.56 crore, a mix of fresh shares and OFS. 5] Smartworks Coworking IPO lot size: A bidder can apply in lots, and one lot of the public offer comprises 36 company shares. 6] Smartworks Coworking IPO allotment date: The most likely date for share allocation is 15 July 2025, which is Tuesday next week. 7] Smartworks Coworking IPO registrar: MUFG Intime India Private Limited (Link Intime) has been appointed registrar of the public issue. 8] Smartworks Coworking IPO lead managers: JM Financial, BoB Capital Markets, IIFL Capital Services, and Kotak Mahindra Capital have been appointed lead managers of the public issue. 9] Smartworks Coworking IPO listing date: The public issue is proposed for listing on the BSE and the NSE. Most likely date for share listing is 17 July 2025. 10] Smartworks Coworking IPO review: Whether one should apply for the public issue or not, Gaurav Goel, Founder & Director at Fynocrat Technologies, said, "As an investor, it is important to look beyond revenue and consider the Company's ability to generate profit. Smartworks' return on net worth remains negative, and its cash flows from core operations are yet to stabilize. Scalability alone is insufficient in a competitive and capital-intensive space like managed offices. The risk remains high for retail investors until the Company can show a clear path to profitability and reduce its dependence on external capital." Whether the Smartworks Coworking IPO is good or bad for the primary market investors, JM Financial Services said, "During Fiscal 2025, the Company derived 75.19% of their Rental Revenue from their Centres located in Pune, Bengaluru, Hyderabad and Mumbai. Any adverse developments affecting such locations and centres could hurt their business, operations, and financial condition. The Company's success largely depends on its ability to identify the right buildings/ properties in the right locations and source such centres at the right rental rate and other commercial terms. Any failure to do so will adversely affect their business, cash flows, results of operations and profitability." The market capitalization of Smartworks Coworking Spaces IPO is ₹ 4644.82 crore. By the end of FY25, the Company's ROCE was 42.30%, and the EBITDA Margin stood at 62.39%. The Company's price-to-book is ₹ 38.58 per equity share. Disclaimer: The views and recommendations above are those of individual analysts or brokerage companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
