Co-working startup Smartworks is going for an Initial Public Offering (IPO), which will open for public subscription on July 10. The company has fixed the IPO price band at Rs 387-407 per share.
Smartworks IPO: Issue details
Smartworks has reduced its fresh issue size from the earlier planned Rs 550 crore to Rs 445 crore. The company has also reduced the offer for sale size from earlier 67.59 lakh shares to 33.79 lakh shares. At the upper end of the price band, Smartworks’ IPO size is estimated at Rs 583 crore, valuing the company at Rs 4,645 crore.
Smartworks IPO: Financial performance
As per the RHP documents filed to SEBI by Smartworks, its losses widened to Rs 63.17 crore in the financial year 2024-25. In the previous financial year, the company incurred losses of Rs 49.95 crore.
While Smartworks’ losses increased by 26 percent in a year, its revenue also grew by 32 pecent in the same period. In FY25, Smartworks posted a revenue of Rs 1374.05 crore against the Rs 1039.36 crore revenue in the previous fiscal year.
How will Smartworlks utilise IPO proceeds?
Smartworks said that it plans to utilise a large portion of its IPO proceeds for loan payments and security deposits of the new properties. The company said that it will use Rs 114 crore for the loan payments, and it will allocate Rs 226 crore for security deposits and other expenditure of new properties. Further, it will use the rest of the money for the general corporate expenditures.
Additionally, the company’s RHP documents show that its two promoter companies and one investor are selling their stake under the Offer for Sale. Its promoters, NS Niketan LLP and SNS Infareality LLP, are selling 9,80,000 and 6,20,000 equity shares.
Smartworks business
Smartworks claims that it has operations in 15 cities in India with 50 centres. Further, the company says that it operates in Singapore as well, with two centres. Overall, the company claims to have 9 million square feet of space under its portfolio.
According to Tracxn, a data company, Smartworks has raised $69.9 million in 7 funding rounds from a total of 83 investors. The company raised its last funding in June 2024, when it raised $20.2 million.