Upcoming IPO: IndiQube Gains SEBI Approval for ₹850 Crore IPO

The shared office space provider IndiQube has received approval from the market regulator, the Securities and Exchange Board of India (SEBI), to raise ₹850 crore through an initial public offering (IPO).

According to IndiQube’s draft red herring prospectus (DRHP) filed in December 2024, the company plans to issue equity shares worth ₹ 750 crore through a fresh issue and offer ₹100 crore via an offer for sale (OFS). The proceeds will be allocated towards capital expenditure (₹426.6 crore), debt repayment (₹100 crore), and general corporate purposes. ICICI Securities Limited and JM Financial Limited are the lead managers for the offering.

About IndiQube 

Led by co-founders Rishi Das and Meghna Agarwal, the company is part of a growing trend of co-working players seeking public listings amidst rising demand for flexible office spaces. IndiQube, which operates 103 centres across 13 cities, including six Tier-II cities, is supported by venture capital firm WestBridge Capital and investor Ashish Gupta. As of June 30, 2024, its portfolio spans 7.76 million square feet with a seating capacity of 172,451 seats.

Since its founding in 2015, IndiQube has built a diverse client base, including global capability centres (GCCs), Indian corporates, unicorns, and startups. Key clients include Myntra, upGrad, Zerodha, NoBroker, Redbus, Juspay, Perfios, Moglix, Ninjacart, Siemens, and Narayana Health.

IndiQube reported a total revenue of ₹867.6 crore for FY24, up from ₹601.2 crore in FY23. The company’s EBITDA for FY24 stood at ₹263.4 crore, with a Q1FY25 EBITDA of ₹153 crore, reflecting its growing financial strength.

Growth of India’s Flex Office Market

The flex office segment in India witnessed a 22% growth in leasing, reaching 2.2 million square feet in Q1FY25. Bengaluru, Delhi NCR, and Pune made up around 80% of the leasing activity. According to JLL, the total flex space across the top seven cities in India is expected to exceed 100 million square feet by 2026, a significant rise from the current 74 million square feet.

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