Smartworks Coworking Spaces Limited is launching its Initial Public Offering (IPO) to raise funds for business expansion and reduce debts. The issue comprises a fresh issue of 1.09 crore equity shares totaling Rs. 445 crore and an offer for sale of 0.34 crore shares worth Rs. 137.56 crore.
The total offer size aggregates up to Rs. 582.56 crore. The IPO opens for subscription on July 10, 2025, and closes on July 14, 2025. The shares will be listed on NSE and BSE on Thursday, July 17, 2025. Here’s everything you need to know.
GMP of Smartworks Coworking Spaces Limited IPO
As of July 9th, 2025, the shares of Smartworks Coworking Spaces Limited in the grey market were trading at a 6.88 percent premium. The shares in the Grey Market traded at Rs. 435. This gives it a premium of Rs. 28 per share over the cap price of Rs. 407.
Overview of Smartworks Coworking Spaces
Smartworks Coworking Spaces Limited was established in 2015 and provides customized managed office spaces for businesses across India. The company offers fully serviced, tech-enabled workspaces with modern designs and essential amenities tailored to the needs of enterprises and their employees.
These spaces include cafeterias, fitness centers, childcare facilities, and medical support, helping companies create a productive and comfortable work environment.
Smartworks mainly caters to mid-to-large-sized Indian corporations, multinational companies (MNCs), and startups. As of March 31, 2025, the company had 738 clients and managed over 152,619 seats.
Currently, it operates 169,541 seats across the country, with 12,044 still available for occupancy. The company owns four of India’s five largest leased office centers, including the massive Vaishnavi Tech Park in Bengaluru, covering 0.7 million square feet.
Smartworks connects landlords, service partners, employees, and clients to deliver scalable, flexible office solutions. The company had 794 permanent employees as of March 31, 2025.
Promoters of Smartworks Coworking Spaces
The promoters include Neetish Sarda, Harsh Binani, Saumya Binani, NS Niketan LLP, SNS Infrarealty LLP, and Aryadeep Realestates Private Limited. They bring industry expertise in real estate, operations, and business management.
Smartworks Coworking Spaces Selling Shareholders
The IPO includes an offer for sale by NS Niketan LLP, SNS Infrarealty LLP, and Space Solutions India Private Limited. NS Niketan is selling 4.9 lakh shares worth Rs. 16.14 crore. Additionally, SNS Infrarealty is selling 3.1 lakh shares worth Rs. 13.72 crore, and Space Solutions India Private Limited is selling 25.79 lakh shares worth Rs. 107.25 crore.
Lead Managers of Smartworks Coworking Spaces IPO
The book-running lead managers are JM Financial, BOB Capital Markets, IIFL Capital Services, and Kotak Mahindra Capital. MUFG Intime India Pvt. Ltd. is acting as the registrar for the IPO.
Objectives of the IPO Offer
Smartworks Coworking Spaces aims to use the IPO proceeds for three main purposes. The company will allocate Rs. 114 crore to repay certain borrowings, helping to reduce its debt.
Additionally, Rs. 225.84 crore will be used for capital expenditure on fit-outs in new centers and security deposits. The remaining funds will be utilized for general corporate purposes, supporting the company’s overall operations and future growth plans.
Financial Analysis of Smartworks Coworking Spaces
Smartworks Coworking Spaces Limited’s revenue has increased from Rs. 1,039.36 crore in FY24 to Rs. 1,374.06 crore in FY25, which represents a growth of 32.20 percent. The net loss has increased from Rs. 49.96 crore in FY24 to Rs. 63.18 crore in FY25.
Smartworks Coworking Spaces Ltd’s revenue has grown at a CAGR of 38.98 percent over the last two years. The company’s EBITDA has grown by 29.95 percent from Rs. 659.67 crore in FY24 to Rs. 857.26 crore in FY25.
Smartworks Coworking Spaces vs Peers
Smartworks Coworking Spaces Limited reported revenue of Rs. 1,374.06 crore in FY2025 with an EPS of Rs. -6.18 and RoNW of -58.76 percent. In comparison, Awfis Space Solutions Limited earned Rs. 1,207.54 crore with an EPS of Rs. 9.75 and a RoNW of 14.78 percent. The company’s net asset value per share is Rs. 10.55, compared to Rs. 65.97 for Awfis Space Solutions Limited.
Strengths of Smartworks Coworking Spaces
- Strong presence in major Indian business cities attracts enterprise clients.
- Customizable workspace solutions meet diverse corporate requirements.
- Experienced promoters with a proven track record in real estate and operations.
- Rapid expansion strategy has increased market share and brand recognition.
- Focus on technology-enabled workspaces enhances client experience and operational efficiency.
Weaknesses of Smartworks Coworking Spaces
- High capital expenditure is required for expansion and facility upgrades.
- Dependence on large enterprise clients increases revenue concentration risk.
- Intense competition from global and domestic coworking brands.
- Economic downturns can impact office space demand and occupancy rates.
- Limited international presence compared to some global competitors.
Conclusion
Smartworks Coworking Spaces Limited’s IPO offers investors exposure to India’s fast-growing flexible workspace market. The company’s focus on enterprise clients and expansion plans supports its growth outlook. Investors should evaluate the company’s financials, risks, and sector dynamics before subscribing to the IPO.
Written By – Nikhil Naik
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