Introduction to Smartworks Coworking Spaces IPO
Smartworks Coworking Spaces Ltd, a leading provider of customized managed office solutions, is coming up with its Initial Public Offering (IPO). With enterprises increasingly adopting flexible workspaces, Smartworks is positioned uniquely in the managed office space segment. This Smartworks Coworking Spaces IPO Review covers key aspects like IPO dates, price band, GMP, financials, and whether you should Subscribe or Avoid this issue.
About Smartworks Coworking Spaces Ltd
Incorporated in 2015, Smartworks offers fully serviced, tech-enabled office environments with modern amenities tailored for large and mid-sized enterprises. It operates under a managed campus model across key Indian cities.
As of March 31, 2025:
- Served 738 clients
- 1.69 lakh seats (with 12,044 seats yet to be occupied)
- Operates some of India’s largest leased commercial spaces like Vaishnavi Tech Park, Bengaluru
- Collaborates with service partners like Chaipoint and ClearTax to offer integrated amenities
Competitive Strengths
- Market leader in the flexible office space domain for large enterprises
- Ability to lease, transform and manage large commercial spaces across India
- Strong client acquisition and retention among large and emerging enterprises
- Capital-efficient model with strong risk-mitigation strategy
- Focused on employee well-being through premium workspace amenities
Smartworks Coworking Spaces IPO Issue Details
| Particulars | Details |
| IPO Open Date | July 10, 2025 |
| IPO Close Date | July 14, 2025 |
| Listing Date (Tentative) | July 17, 2025 |
| IPO Price Band | ₹387 to ₹407 per share |
| Face Value | ₹10 per share |
| Market Lot | 36 Shares |
| Minimum Investment | ₹14,652 (36 shares) |
| Issue Size | ₹582.56 Crores |
| Fresh Issue | ₹445.00 Crores |
| Offer for Sale | ₹137.56 Crores |
| Listing At | NSE, BSE |
| Employee Discount | ₹37 per share |
Objects of the IPO
The net proceeds from the IPO will be used for:
- Repayment or prepayment of certain borrowings: ₹114 Cr
- Capital expenditure for fit-outs and security deposits in new centers: ₹225.84 Cr
- General corporate purposes
Financial Performance of Smartworks
| Financial Year | Revenue (₹ Cr) | PAT (₹ Cr) | EBITDA Margin | ROCE | ROE |
|---|---|---|---|---|---|
| FY 2023 | 744.07 | -101.05 | 57.0% | – | – |
| FY 2024 | 1,113.11 | -49.96 | 59.3% | – | – |
| FY 2025 | 1,409.67 | -63.18 | 62.4% | 42.3% | -58.76% |
Despite strong revenue growth and high EBITDA margins, the company remains loss-making. Negative RoNW is a key concern.
Valuation and Key Metrics
- EPS (FY25): -₹5.54
- Price to Book Value: 38.58x
- Debt/Equity: 2.90x
With a negative EPS and high debt, valuation appears stretched. However, high margin profile and revenue scale-up offer a growth opportunity.
Grey Market Premium (GMP) of Smartworks IPO
As per market sources, the Smartworks IPO GMP is around ₹30-40 per share, indicating moderate investor interest. GMP can change closer to listing.
Reasons to Invest in Smartworks Coworking Spaces IPO
- One of India’s largest managed office space operators
- Fast-growing revenue with high occupancy rates
- Strong EBITDA margins (62% in FY25)
- Opportunity in flexible workspace sector, especially post-COVID
- Backed by experienced promoters and strategic partners
Risk Factors in Smartworks IPO
- Consistent losses despite revenue growth
- High leverage (Debt/Equity ~2.9x)
- Highly dependent on large enterprise clients
- Competition from WeWork, Awfis, and conventional leasing models
How to Apply for Smartworks IPO?
You can apply through:
- Net banking ASBA facility via banks like SBI, ICICI, HDFC
- UPI-based platforms: Zerodha, Groww, Paytm Money
- Broker Platforms with integrated IPO application
Ensure UPI mandate approval by 5 PM on July 14, 2025.
Conclusion: Should You Invest in Smartworks Coworking IPO or Avoid?
Smartworks IPO offers exposure to India’s fast-growing managed office segment with high margins and strong demand tailwinds. However, it remains loss-making and highly leveraged.
Moderate to High-Risk Investors can Invest with Caution for a long-term horizon.
FAQs about Smartworks Coworking Spaces IPO
- What is Smartworks IPO open and close date?
- Opens on July 10 and closes on July 14, 2025
- What is the GMP for Smartworks IPO?
- Current GMP is approx. ₹30-40 per share
- What is the lot size and minimum investment?
- Lot size is 36 shares, minimum investment is ₹14,652
- Is Smartworks IPO good or bad?
- Offers growth potential but comes with high risk
- What is the price band and employee discount?
- Price band: ₹387 to ₹407; Discount for employees: ₹37
- Will company receive proceeds from this IPO?
- Yes, from fresh issue (₹445 Cr); OFS (₹137.56 Cr) goes to selling shareholders
- Where will shares be listed?
- Shares will be listed on NSE and BSE
Disclaimer: This article is for informational purposes only and not a recommendation to invest. Please consult your financial advisor before investing in IPOs.
- Patel Retail IPO Review – Should you Subscribe or Avoid? - August 19, 2025
- Documents Needed to Open Savings Account with Zero Balance - August 19, 2025
- Muthoottu Mini NCD August 2025 Review – Interest Rates, Ratings & Full Analysis - August 19, 2025
Discover more from Myinvestmentideas.com
Subscribe to get the latest posts sent to your email.