WeWork India's initial public offering (IPO) closes today, October 7, 2025, with the issue seeing muted response so far. By the morning of the third day, the IPO has been subscribed 16% overall. Total applications received were 61,463. The retail portion was subscribed 46%, the Non-Institutional Investors (NII) portion 8%, and the Qualified Institutional Buyers (QIBs) portion 9%. The employee portion has been booked 1.55 times.
The ₹3,000 crore IPO is entirely an offer for sale (OFS) of 4.63 crore shares. This means that the company will not receive any proceeds from the IPO, and the funds will go to the existing shareholders. The IPO price band is set at ₹615 to ₹648 per share. At the upper end of the price band, the IPO values WeWork India at approximately ₹8,685 crore. Retail investors need to bid for a single lot size of 23 shares, requiring an investment of ₹14,904.
Grey Market Premium (GMP)
The Grey Market Premium (GMP) for WeWork India's IPO is ₹0, as of 8:00 AM on October 7, 2025. This indicates a flat listing, with shares expected to trade around the issue price of ₹648. The GMP is an unofficial and speculative indicator of listing performance. It reflects investors' willingness to pay a premium over the issue price. The GMP has shown a downward trend in the last few sessions.
Financial Performance and Concerns
In FY25, WeWork India reported a profit of ₹128.19 crore, compared to a loss of ₹135.77 crore in FY24. Revenues also increased 17% year-on-year to ₹2,024 crore. However, concerns have been raised regarding the company's financials, disclosures, and high costs. InGovern, a governance advisory firm, pointed out that the company has consistently reported negative cash flows, and lease costs account for a significant portion of its revenue. The reported profit in FY25 is largely due to a deferred tax credit rather than operational profitability.
WeWork India's occupancy rate has declined from 84% in FY23 to 76% in Q1FY26. The company's reliance on Bengaluru and Mumbai for a significant portion of its revenue is also a concern.
Analyst Recommendations
Analysts have mixed opinions on the WeWork India IPO. Anand Rathi Research has a "Subscribe – Long Term" rating, citing the company's EBITDA positivity and focus on profitability. Arihant Capital recommended "Subscribe for listing gain". Angel One and SBI Securities have assigned a neutral rating. Canara Bank Securities acknowledged that the issue appears expensive compared to peers but recognized the company's brand strength, operational scale, and recent return to profitability as key positives.
Key Details
- IPO Size: ₹3,000 crore
- Offer: Offer for Sale (OFS) of 4.63 crore shares
- Price Band: ₹615-648 per share
- Listing: BSE and NSE
- Tentative Listing Date: October 10, 2025
- Allotment Date: Expected on October 8, 2025
- Lot Size: 23 shares
Should You Subscribe?
The decision to subscribe to the WeWork India IPO depends on individual risk appetite and investment horizon. The company has shown improved financial performance in FY25, but concerns remain regarding valuation, occupancy rates, and reliance on specific markets. The flat GMP indicates a potential for a listing at or near the issue price. Investors should carefully consider these factors before making a decision.
