Ahead of its ₹582 crore IPO, Smartworks Coworking Spaces reported a 21% rise in net loss to ₹63.17 crore for FY25. However, revenue surged to ₹1,374 crore, reflecting robust demand. The IPO opens July 10, with proceeds earmarked for expansion, debt repayment, and new fit-outs across India.
Smartworks Coworking Spaces is moving ahead with its initial public offering (IPO) despite reporting a net loss of ₹63.17 crore in FY25—a 21% increase from ₹49.95 crore the previous year. The data comes from the company’s red herring prospectus (RHP) filed in advance of its upcoming listing on the Indian bourses.
The IPO will open for public bidding on July 10 and close on July 14. The price band has been set between ₹387 and ₹407 per share, and retail investors must bid in lots of 36 shares. The anchor investor allotment is scheduled for July 9.
The public issue will comprise a fresh issue of shares worth ₹445 crore and an offer for sale (OFS) of 3,379,740 equity shares. Initially, Smartworks planned to raise over ₹550 crore through the fresh issue alone; however, the amount was subsequently revised downward. The OFS component, too, was trimmed from 6.75 million shares to the current volume.
Key stakeholders participating in the OFS include NS Niketan LLP, SNS Infrarealty LLP, and Space Solutions India Pte. Ltd.
Despite mounting losses, Smartworks’ operating revenue saw impressive growth, rising to ₹1,374.05 crore in FY25 from ₹1,039.36 crore in FY24. This jump in topline reflects the increasing appetite for flexible workspace solutions among enterprises, even as the company continues to invest heavily in scale and operations.
Of the total funds raised, approximately ₹226 crore will be allocated to capital expenditure, specifically for security deposits and fit-outs at the new centres. Another ₹114 crore is earmarked for loan repayment, while the remaining amount will be allocated to general corporate purposes, according to the company’s RHP.
Headquartered in Gurugram, Smartworks currently operates 48 coworking centres across India with a total seating capacity exceeding 190,000. The company has positioned itself as a full-service managed office provider, targeting large enterprises and growing businesses looking for scalable, tech-enabled workspaces.
JM Financial, BOB Capital Markets, IIFL Capital Services, and Kotak Mahindra Capital are serving as the book-running lead managers for the IPO. At the same time, MUFG Intime India Pvt. Ltd. is the registrar.
With strong revenue growth and expanding market presence, Smartworks is betting on investor confidence in India’s coworking sector, even as profitability remains a work in progress. The IPO marks a significant milestone for the flexible workspace operator as it seeks to expand further in a rapidly evolving market.
