[Update] WeWork India IPO: Issue Closes With 1.15X Oversubscription

Update | October 7, 19:11 IST

The IPO of WeWork India closed with an oversubscription of 1.15X after getting lukewarm response from investors on the first two days of bidding. The public issue received bids for 2.92 Cr shares against 2.54 Cr shares on offer. 

The employees’ portion was the highest subscribed at 1.87X, receiving bids for 1.11 Lakh shares against 59,523 shares on offer. 

The portion reserved for qualified institutional buyers (QIBs) was oversubscribed 1.79X, getting bids for 2.47 Cr shares in comparison to 1.38 Cr shares on offer. 

The subscription of retail investors ended at 61%. They placed bids for 28.2 Lakh shares as against 46.23 Lakh shares reserved for them.

Meanwhile, non-institutional investors (NIIs) placed bids for 15 Lakh shares as against 69.35 Lakh shares on offer, translating to 23% subscription. 

Original | October 7, 14:03 IST

WeWork India’s IPO continued seeing subdued interest on the third day of bidding, and was subscribed 39% at 12:45 today as against 13% subscription on Day 2. The issue received bids for 99.4 Lakh shares against 2.54 Cr shares on offer.

The employees’ quota was the only segment to see an oversubscription at 1.6X, receiving bids for 97,497 shares against 59,523 shares on offer. 

The retail investors’ portion saw 49% subscription, getting bids for 22 Lakh shares against 46.23 Lakh shares on offer. 

While qualified institutional buyers’ (QIBs) portion was subscribed 50%, non-institutional investors (NIIs) continued lukewarm response with 9% subscription. The QIBs placed bids for 69 Lakh shares against 1.38 shares on offer, while the NIIs bid for 6.4 Lakh shares against 69 Lakh shares on offer.

WeWork’s public issue solely comprises an OFS of up to 4.62 Cr equity shares. While parent Embassy Buildcon LLP is offloading up to 3.5 Cr shares, the remaining equity shares are being sold by WeWork International’s affiliate 1 Ariel Way Tenant Ltd. 

Embassy Buildcon LLP holds a 73.56% stake in WeWork India, while 1 Ariel Way Tenant Ltd owns a 22.64% stake in the company.

Meanwhile, proxy advisory firm InGovern has flagged issues with WeWork India’s IPO, claiming the company’s promoters are facing ongoing serious legal proceedings, which raises concerns over disclosure adequacy and fit-and-proper status under SEBI regulations. 

“WeWork India operates under a 99-year licence with WeWork Global, making it heavily dependent on continued promoter control and brand compliance, posing substantial operational risks,” it said.

InGovern also said that a significant portion of promoter shares was pledged before the IPO for borrowing. While the pledge was released ahead of the IPO, these shares must be repledged if there is a delay in IPO listing, it added. 

WeWork India’s shares are expected to make their Dalal Street debut on Friday (October 10). At the upper end of the IPO price band of INR 615 to INR 648, the company would be valued at INR 8,684 Cr (about $978.6 Mn). 

On the financial front, WeWork India trimmed its net loss by 51.5% to INR 14.1 Cr in Q1 FY26 from INR 29.2 Cr in the year-ago quarter. Its operating revenue jumped 19.3% to INR 535.3 Cr during the quarter under review from INR 448.7 Cr in Q1 FY25. 

In FY25, WeWork India posted a profit of INR 128.2 Cr as against a loss of INR 135.7 Cr in FY24. Its operating revenue rose 17% YoY to INR 1,949.2 Cr during the financial year.