The Initial Public Offering (IPO) of IndiQube Spaces, a managed workspace solutions provider, has seen a muted response in terms of Grey Market Premium (GMP), while subscription numbers have shown moderate interest. The IPO opened on July 23, 2025, and closed on July 25, 2025.
Subscription Status
By 10:19:34 AM on the final day, the IPO was subscribed 3.02 times. The retail category was subscribed 8.42 times, while Qualified Institutional Buyers (QIB) and Non-Institutional Investors (NII) showed subscriptions of 1.49 and 2.45 times, respectively. Total applications numbered 3,49,018. By the end of Day 2, the IPO had been subscribed 2.68 times overall, with the retail investor segment leading with 7.32 times subscription. The employee quota was subscribed 5.10 times.
Grey Market Premium (GMP)
The Grey Market Premium (GMP) for IndiQube Spaces IPO has remained muted, with some reports indicating a premium of ₹8. Market observers reported that the company's shares were trading at a premium of ₹23 in the grey market. However, it's important to note that GMP is an unofficial figure and is subject to market volatility.
IPO Details
The IndiQube Spaces IPO aims to raise ₹700 crore. The issue involves a fresh issue of 2.74 crore shares aggregating to ₹650 crore and an offer for sale of 0.21 crore shares aggregating to ₹50 crore. The price band for the IPO is set at ₹225 to ₹237 per share, with a face value of ₹1. The minimum order quantity is 63 shares, requiring a minimum investment of ₹14,175 for retail investors.
The IPO includes a reservation of up to 69,767 shares for employees, offered at a discount of ₹22 per share. ICICI Securities Limited and JM Financial are the book-running lead managers, while MUFG Intime India Private Limited (Link Intime) is the registrar for the issue. The shares are proposed to be listed on both the BSE and NSE. The tentative listing date is set for Wednesday, July 30, 2025.
** utilization of Funds**
The company intends to use the net proceeds from the fresh issue for capital expenditure towards the establishment of new centers (₹462.65 crore) and repayment/prepayment of outstanding borrowings (₹93.04 crore). The remaining funds will be used for general corporate purposes.
Company Overview
Incorporated in 2015, IndiQube Spaces specializes in providing flexible and innovative workspace solutions. As of March 31, 2025, the company operated 115 centers across 15 cities, with a total portfolio of 8.40 million sq. ft. and a seating capacity of 1.86 lakh.
Financial Performance
For the financial year ended March 31, 2025, IndiQube Spaces reported a net loss of ₹139.62 crore and revenue of ₹1,059.29 crore. While the company has shown revenue growth, it remains loss-making.
Key Strengths
IndiQube is a leading flexible workspace provider in India with a strong foothold in Bengaluru. The company demonstrates good operational efficiency, with an 86.50% occupancy rate in its mature centers and a high operational EBITDA margin of 58.20% in FY25.
Risks
The company is sensitive to real estate market fluctuations affecting leasing costs and profitability. Shifts in work culture, like remote working, could reduce demand for office spaces. The company's ability to pay future dividends depends on earnings, financial condition, and financing terms.
Anchor Investors
On July 22, 2025, IndiQube Spaces raised ₹314.32 crore from anchor investors by allotting 1.32 crore shares at the upper end of the price band.
Should You Apply?
Analysts have a mixed view on the IPO. While the company has shown progress in revenue growth, it remains loss-making. Risks tied to the commercial real estate sector and occupancy trends in a hybrid work environment could impact future performance. Investors with a growth-focused, mid- to long-term outlook may find the issue reasonable. However, some analysts suggest that valuations appear stretched compared to peers, especially those with better financials and profitable operations and suggest waiting for better entry points in the future.
