Smartworks Coworking Spaces IPO: Key Highlights
IPO Opened: July 10, 2025
IPO Closed: July 14, 2025
Price Band: ₹387 to ₹407 per share
Lot Size: 36 shares
Minimum Investment: ₹14,652
Fresh Issue: ₹445 crore
OFS (Offer for Sale): ₹137.56 crore
Registrar: Kfin Technologies
Lead Manager: GYR Capital Advisors
Tentative Listing Date: July 17, 2025
Listing Exchanges: NSE and BSE
NIIs Lead the Charge in IPO Subscription
Non-institutional investors (NIIs) showed overwhelming support for the Smartworks Coworking Spaces IPO. As of the final day of subscription, the IPO had received 1.56 times subscription.
NIIs subscribed 2.76 times their reserved quota.
Retail investors subscribed 1.57 times.
Qualified Institutional Buyers (QIBs) subscribed just 64 percent of their reserved portion.
Clearly, NIIs were the major driving force behind the IPO’s successful subscription.
Retail vs QIBs: Who Showed More Interest?
Retail investors participated actively, but their demand was modest compared to NIIs. The limited enthusiasm from QIBs might be due to global market volatility, a cautious approach by large funds, or competition from upcoming IPOs.
Nonetheless, overall full subscription shows confidence from key investor categories.
IPO Structure: Fresh Issue and Offer for Sale Explained
Fresh Issue – ₹445 Crore
The fresh issue portion aims to raise capital for debt repayment, expansion of coworking centers, security deposits, and general expenses.
Offer for Sale – ₹137.56 Crore
This portion involves promoters and early investors selling their shares. The company will not receive any proceeds from this.
Utilization of Funds: Where Will the Money Go?
Debt repayment or prepayment: ₹200 crore
Capital expenditure (fit-outs): ₹150 crore
Security deposits for new centers: ₹50 crore
General corporate purposes: ₹45 crore
This distribution shows the company is focusing on growth while strengthening its financial position.
Grey Market Premium (GMP) Update
As of July 14, Smartworks Coworking Spaces shares were trading in the grey market at ₹427 per share.
This indicates a GMP of ₹20 or about 4.9 percent over the upper issue price of ₹407.
A rising GMP usually signals strong investor confidence and the possibility of listing gains.
IPO Allotment and Listing Timeline
IPO Close Date: July 14, 2025
Basis of Allotment: July 15, 2025
Credit of Shares to Demat: July 16, 2025
Listing Date on NSE and BSE: July 17, 2025
Company Overview: Smartworks at a Glance
Founded in 2016
Industry: Coworking and Managed Workspaces
Space managed as of March 2024: 8.0 million sq. ft.
Space managed as of March 2025: 8.99 million sq. ft.
Clientele includes Indian corporates, multinational companies, and startups
Presence across major Indian metros
Smartworks focuses on delivering customized, tech-driven office environments for modern businesses.
Why Is the IPO in Demand?
Here are some key reasons:
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Post-COVID demand for managed and flexible office space
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Smartworks is the largest player in the managed campus category
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Strong clientele including MNCs and mid-to-large enterprises
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GMP indicates likely listing gains
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Proceeds will be used for meaningful growth-related activities
Risks Investors Should Consider
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Heavy competition from WeWork, Awfis, and others
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Delay in center launches can impact revenue
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Dependency on large client contracts
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IPO pricing is slightly at the premium end
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Lower-than-expected subscription from institutional investors
Every IPO carries some level of risk. Always analyze your risk profile before investing.
Conclusion: Should You Invest in Smartworks IPO?
The Smartworks Coworking Spaces IPO has generated strong interest, especially from non-institutional investors. While institutional response has been conservative, the full subscription and steady GMP reflect positive sentiment.
The company is well-positioned in the growing flexible workspace market. If you're a long-term investor looking to benefit from the future of work trends, Smartworks may be a promising bet.
However, potential investors should consider both the company’s growth potential and its risks. A cautious, balanced approach is best.
FAQs
Q1: What is the lot size for Smartworks Coworking Spaces IPO?
A: The lot size is 36 shares per application.
Q2: What is the IPO price band?
A: The price band is ₹387 to ₹407 per share.
Q3: What is the grey market premium (GMP) today?
A: The GMP is approximately ₹20 over the upper price band, indicating ₹427 unofficial trading.
Q4: When will Smartworks IPO allotment be finalized?
A: The allotment will be finalized on July 15, 2025.
Q5: What is the listing date?
A: Shares are expected to be listed on July 17, 2025, on NSE and BSE.
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