LIVE: WeWork IPO GMP stagnant – What’s the big worry? Check issue price, subscription trends on Day 1

As of October 3, 2025, 5:04 PM, the WeWork India IPO had received overall subscriptions of just 0.04 times. Within categories, retail investors subscribed 0.15 times, while Qualified Institutional Buyers (excluding anchors) and Non-Institutional Investors both recorded subscription levels of 0.02 times.

The company’s promoters are Jitendra Mohandas Virwani, Karan Virwan, and Embassy Buildcon LLP.

Promoter Holding Pre Issue 73.56%

Promoter Holding Post Issue 48.07%

The company has launched flexible digital services that generate revenue without being limited by physical space:

On Demand – Pay-as-you-go access to desks or meeting rooms, bookable by the hour or day at selected locations.

All Access – A monthly plan that gives members the ability to work from any WeWork site worldwide.

Virtual Office – A subscription that provides a registered business address within minutes, allowing official use without renting an office.

Workplace – A software platform for companies to manage employee schedules and workspace usage, built to integrate with existing corporate systems.

“WeWork is a leader in India’s premium flexible workspace market with robust growth metrics. The company is strategically positioned as a premium market leader to capitalize on the sustained shift towards hybrid work models in India. Revenue/adj EBITDA has grown steadily at a CAGR 22% /48% between FY23–FY25 and issue is available at a EV/adj EBIDTA of 21.3x of FY25 earnings which we believe is reasonable and recommend ‘Subscribe’ to the issue considering India’s strong demand for flexible offices and WeWork’s brand leadership,” said brokerage house Nirmal Bang.

The key purpose behind the IPO is simply to list WeWork India’s shares on the stock exchanges. As per the DRHP filing, this is expected to improve the company’s market visibility and offer an exit or liquidity option to existing shareholders. There is no direct fund infusion into the business from this offering.

“WeWork India Management Limited is a flexible workspace operator in India. The organisation provides a comprehensive array of flexible workspace solutions, encompassing custom-designed buildings, floors and offices, enterprise office suites, tailored managed offices, private offices, co-working spaces, and hybrid digital solutions,” said Bajaj Broking in its IPO note.

“From a valuation perspective, the Company is currently valued at EV/EBITDA multiple of 6.8x and EV/Sales multiple of 4.3X based on its FY25 financials,” added the brokerage house report.

The company’s total income increased by 70% to Rs 1,422.77 crore in FY23 from Rs 836.67 crore in FY22. Plus, membership revenue grew by 495.61% to Rs 49 crore in FY23 from Rs 8.19 crore in FY22. This was primarily due to a 196.62% increase in revenue from ‘On-Demand’ services and the introduction of new offerings like ‘All-Access’ and ‘Virtual Office’.

Some of the top landlords account for more than 36% of the operational leasable area. This essentially means that any disruption in the relationship with these landlords could impact cash flows and operations. This may also constrain the company’s ability to negotiate agreements as per its terms and conditions.

The impact of global headwinds and macroeconomic developments on the business is one of the major factors for DRHP outlined. Citing examples of the closure of centres in Gurugram and Mumbai in FY25, the company highlights that a slowdown in the growth of the market would directly impact the demand for flexible co-working spaces.

Nearly 70% of the revenue is from net membership fees located in Bengaluru and Mumbai. That essentially means any adverse developments affecting such locations and centres could have an adverse effect on the business and impact profitability too. As of September 2024, WeWork had 59 operational centres with a capacity of 94,440 desks n operational centres across 8 cities in India, of which Bengaluru and Mumbai contributed a significant portion.

Once the three-day subscription window closes, investors won’t have to wait long for the next step.

The share allotment is slated for October 8, with trading on the BSE and NSE likely to begin on October 10. A successful debut would place WeWork India among a small but growing group of listed co-working firms in the country, which already includes Awfis Space Solutions, Indiqube, and Smartworks.

The initial response to WeWork India’s IPO is muted. Three hours after opening, the issue was subscribed only 0.02 times overall so far. Breaking it down, retail investors showed slightly more interest with 0.11 times subscription, while institutional investors barely participated, with the QIB segment at 0.00 times and the NII category at 0.01 times.

The company’s revenue from operations for the six months ended September 2024 came in at Rs 918.19 crore. For FY24, the revenue stood at Rs 1,665.14 crore, marking an increase of 26.67% from FY23 when it reported Rs 1,314.52 crore. For FY22, WeWork posted a revenue of Rs 784.44 crore.

WeWork has incurred net losses in fiscal year (FY) 2024, 2023, and 2022. These losses, along with negative cash flows in FY24 and FY22. However, for the six months ended September 2024 (H2FY25), the company reported a net profit of Rs 174.13 crore.

The subscription numbers on the first day so far remains very low. As of the latest, the overall issue was subscribed just 0.02 times, with the retail segment at 0.09 times, the qualified institutional buyers (QIB) category showing no subscriptions, and the non-institutional investors (NII) segment at 0.01 times.

WeWork operated 59 operational centres across eight cities in India (Mumbai, Pune, Bengaluru, Chennai, Hyderabad, Delhi, Gurgaon, and Noida) as of September 2024. The company’s desk capacity in operational centres was 94,440. The company has been the largest operator by total revenue in India for the past three fiscal years, according to CBRE.

In the first few hours after opening, the WeWork India IPO recorded minimal subscription of just 0.01 times overall so far. The retail segment at 0.06 times. There was no participation recorded yet from qualified institutional buyers (QIBs) or non-institutional investors (NIIs).

HDFC Securities says the company’s strategic relationship with Embassy Group is a key factor to watch out for. The real estate developer has a portfolio that exceeds 85 million square feet and they are also the sponsor of India’s first REIT. This partnership, according to HDFC Securities, can act as a differentiator for WeWork. This is because the partnership for this flexible workspace operators in India enables multi-asset relationships and access to Embassy Group’s large tenant base seeking flexible workspace solutions.

“Concerns remain around promoter litigations and past inconsistent financial performance. Part of promoters’ shares pledged for borrowings; enforcement could reduce promoter holding and impact equity market value. As of June 30, 2025, company has long-term fixed-cost lease agreements for 7.35 mn sq ft across 60 centers in 8 cities; risks include lease defaults, non-renewals, or property damage,” according to Canara Bank Securities.

WeWork India’s IPO is primarily being led by two key shareholders. The promoter group, Embassy Buildcon, plans to sell about 3.54 crore shares, while 1 Ariel Way Tenant, an investor shareholder, is set to offload roughly 1.08 crore shares.

Also read: WeWork India IPO: 7 questions investors must ask before bidding for Rs 3,000 crore issue

The grey market for WeWork India’s IPO has started showing a slight upward trend, with the premium rising about 2-3% or Rs 16 above the upper price band of Rs 648 per share. Based on these unofficial rates, the stock’s estimated listing price is around Rs 663 per share.

Investors should note, however, that grey market premiums are not official indicators, and the actual listing price on the NSE and BSE can differ significantly from what these early signals suggest.

SBI Securities has a Neutral rating on the IPO. They believe that “At the upper price band of Rs 648, the issue is valued at FY25 P/E multiple of 50.1x based on the post-issue capital, which seems fairly valued.”

WeWork India is a leading premium flexible workspace operator in India with 68 operational centres across 8 cities in India, and an operational desk capacity of 1,14,077 desks. The company is the exclusive licensee of the WeWork brand in India and benefits from its relationship with WeWork Global. The global flexible workspaces operator has 600 wholly-owned and licensed locations in 35 countries. Historically, the company’s revenue has grown at 21.8% annually between FY23-FY25. The FY25 PAT came in at Rs 173 cr vs net loss of Rs 146 cr in FY23.

In the first quarter of FY26, WeWork India reported revenue of Rs 535.3 crore, a year-on-year increase of 19.3 percent. Its adjusted EBITDA margins declined to 18.05 percent compared with 21.67 percent in the same quarter last year.

The net loss stood at Rs 14.1 crore, lower than the Rs 29.1 crore loss reported a year earlier. During the period, the company’s average revenue per member, or billed desk, fell 3.3 percent to Rs 19,085.

Also read: October IPO Rush: Tata Capital, LG Electronics, WeWork in spotlight – Which mega IPO could be the next winner?

The WeWork India IPO is being steered by a consortium of lead managers that includes JM Financial, ICICI Securities, Jefferies India, Kotak Mahindra Capital, and 360 ONE WAM.

Overseeing the key task of share allotment and maintaining investor records is MUFG Intime India, which has been appointed as the registrar to the issue.

WeWork India’s Rs 3,000-crore IPO is a pure offer for sale, with about 4.63 crore shares on the block. Promoter group firm Embassy Buildcon LLP and investor 1 Ariel Way Tenant, part of WeWork Global, will be offloading their stakes through the issue. Since no fresh capital is being raised, the exercise is aimed at giving existing shareholders liquidity, improving the company’s market visibility.

Also Read: WeWork India IPO opens today: GMP, valuation, issue price – Five facts investors can’t miss before subscribing

The Rs 3,000-crore IPO of co-working player WeWork India is set to open for public subscription today at 10 AM. The share sale is being led by the India unit of the U.S.-based workspace brand, where the majority stake is held by Embassy Group.

Ahead of the IPO, the company managed to raise more than Rs 1,348 crore from a wide range of anchor investors. Domestic mutual funds such as ICICI Prudential, HDFC, Aditya Birla Sun Life, Axis, Canara-Robeco and Motilal Oswal participated in the anchor book, along with insurance firms like SBI General, Kotak Mahindra Life, Canara HSBC Life and Bajaj Allianz Life. International investors also showed interest, with Goldman Sachs Fund, Allianz Global Investors and Al Mehwar Commercial Investments among the names backing the offer.