Co-working giant WeWork India is preparing for a significant milestone: its Initial Public Offering (IPO), set to launch on October 3rd. Insiders familiar with the development indicate the offering aims to raise approximately ₹3,000 crore.
According to the red herring prospectus (RHP), the public issue will conclude on October 7th. A dedicated one-day bidding window for anchor investors is scheduled to open on October 1st.
The proposed IPO, as detailed in the draft papers, consists entirely of an Offer for Sale (OFS), involving the divestment of up to 4.63 crore equity shares. The primary sellers will be promoter group firm Embassy Buildcon LLP and investor 1 Ariel Way Tenant Ltd, an entity associated with WeWork Global.
Importantly, since this is purely an OFS, WeWork India as a company will not directly receive any of the funds generated from this listing.
Ownership structure currently shows Embassy Group holding a substantial 76.21% stake in WeWork India, with WeWork Global owning the remaining 23.45%.
Founded in 2017, WeWork India operates under an exclusive licensing agreement for the renowned ‘WeWork’ brand across the country. It is proudly promoted by the Embassy Group, a prominent real estate developer based in Bengaluru.
In its regulatory filings, WeWork India emphasized that the main goal of this offering is to unlock the benefits of being listed on India’s stock exchanges. The company anticipates that a public listing will boost its market visibility, provide liquidity for existing shareholders, and successfully establish a transparent public market for its shares within India.
Looking back at its funding, WeWork Global injected $100 million in 2021. More recently, in January 2024, WeWork India successfully raised ₹500 crore through a rights issue, strategically utilizing these funds primarily for debt reduction and to fuel future growth initiatives.
WeWork India boasts a widespread operational presence across India’s key Tier 1 cities, including major hubs like Bengaluru, Mumbai, Pune, Hyderabad, Gurugram, Noida, Delhi, and Chennai.
The company currently manages an impressive 77 lakh square feet of co-working space, with 70 lakh square feet already operational. This translates to a substantial desk capacity of 1.03 lakh, supported by a dedicated team of over 500 employees.
With the IPO launch slated for early October, WeWork India is projected to make its official debut on the stock exchanges around October 10th.