Exclusive: Smartworks Raises $4 Mn From Existing Backer Keppel Land

Coworking space provider Smartworks has raised nearly $4 Mn (about INR 33 Cr) from its existing backer, Singapore-based Keppel Land. 

As per the startup’s regulatory filing, it issued cumulative convertible preference shares to real estate giant Keppel Land for INR 269 per share.

The funding could likely be a part of a larger funding round. In May last year, Smartworks cofounder Neetish Sarda said that the startup was looking to raise $70 Mn to $90 Mn.

“We might raise equity capital anywhere between $70 Mn and $90 Mn. We need growth capital for FY25 and beyond,” Sarda told news agency PTI.

A detailed questionnaire sent to Smartworks on the funding didn’t elicit any response till the time of publishing this story. 

The latest fundraise came almost five years after the startup raised $25 Mn in its Series A funding round from Keppel Land. 

Founded in 2016 by Sarda and Harsh Binani, Smartworks is a shared workspace provider. It provides office spaces that can be rapidly configured and customised to the needs of their enterprise clients, offering a full suite of solutions. 

The startup claims to have over 8 Mn sq. ft. of office space across 40+ locations in 14 cities, including Bengaluru, Kolkata, Delhi NCR, Mumbai and Pune. It caters to over 600 organisations, including Forbes 2000 /Fortune 500 companies, multinational companies and unicorns and soonicorns.

Smartworks counts the likes of Honeywell, Starbucks Coffee, DHL, and Moglix among its clients. 

It reported an operating revenue of INR 711 Cr in the financial year 2022-23 (FY23), 98% higher than INR 360 Cr in FY22. Net loss increased 44% to INR 101 Cr during the year under review. 

Smartworks competes against the likes of WeWork India, IndiaQube, and IPO-bound Awfis. 

Earlier today, it was reported that WeWork Inc is looking to sell its 27% stake in its India unit, WeWork India, for INR 1,200 Cr to A91 Partners, Emam group’s family office, and Mithun Sacheti.