IndiQube Spaces Limited Set to Raise ₹700 Crore in IPO Starting July 23, 2025

#IndiQubeIPO #FlexibleWorkspace #WorkspaceRevolution #IPO2025 #HybridWork #OfficeSolutions #QIB #RetailInvestors #ManagedOffices #IndiaMarkets

Chandigarh: IndiQube Spaces Limited, a Bengaluru‑based managed workplace solutions provider, is all set to launch its ₹700 crore Initial Public Offering (IPO). The anchor investor book opens on Tuesday, July 22, 2025, followed by the IPO opening to the public from Wednesday, July 23, and closing on Friday, July 25. Share allotment is expected to be finalized by July 28, with listing on both BSE and NSE targeted around July 30.

🧾 Offer Structure & Pricing

• The IPO comprises a fresh issue of shares worth ₹650 crore and an Offer for Sale (OFS) by promoters Rishi Das and Meghna Agarwal, aggregating up to ₹50 crore, each offloading shares worth up to ₹25 crore.

• The price band has been set at ₹225–₹237 per share, with a lot size of 63 shares, implying a minimum retail application value between ₹14,175 and ₹14,931.

🏢 Business Overview & Growth Trajectory

IndiQube Spaces, incorporated in 2015, delivers comprehensive “plug & play” managed office solutions under brands like IndiQube Grow, MiQube, Cornerstone, and Bespoke. The company’s core offerings include interiors, facility management, tech-enabled services, and consultative workplace support.

As of March 31, 2025, the company managed 115 centres (105 operational plus 10 in LOI stage) across 15 cities, covering approximately 8.40 million sq ft and accommodating 186,719 seats—a sharp expansion from 103 centres and 7.76 million sq ft as of June 2024. This reflects an Assets Under Management (AUM) CAGR of ~30% over two years. Bengaluru alone houses 65 centres spanning 5.43 million sq ft.

Its clientele includes global capability centres (GCCs), large Indian firms, unicorns, and startups such as Myntra, Zerodha, upGrad, NoBroker, Siemens, Perfios, MobiKwik, Juspay, Moglix, and Ninjacart—underscoring its enterprise-first strategy.

💵 Financial Snapshot

• Total Income FY25: ₹1,059–₹1,103 crore (a ~35 % year-on-year growth from ₹830 crore in FY24)

• EBITDA FY25: ₹660 crore (RoCE: ~34%)

• Net Loss FY25: ₹139.5 crore, narrowed from ₹341.5 crore in FY24 (a ~59 % reduction in losses)
  These figures reflect a robust topline expansion while showing steady improvement in profitability metrics.

📌 Use of IPO Proceeds

Pursuant to filings:

• ₹462.6 crore will be deployed to establish new centres across emerging cities

• ₹93–100 crore for repayment/prepayment of outstanding debt (₹332 crore total borrowings as of May 2025)

• Remaining funds earmarked for general corporate purposes
  This capital allocation aims to support accelerated expansion and deleverage the balance sheet.

🧭 Allocation & Leadership

• Up to 75% of the net issue is reserved for Qualified Institutional Buyers (QIBs)

• Not more than 15% earmarked for Non-Institutional Investors (NIIs)

• At least 10% reserved for Retail Individual Investors (RIIs)
  The employee reservation, if any, is minimal and reported separately in the RHP.

• Book Running Lead Managers: ICICI Securities Limited and JM Financial Limited

• Listing platform: BSE & NSE

• Post-IPO market cap aim: ~₹5,000 crore, based on upper price band valuation guidance by promoters.

🌱 Market Positioning & Strategic Context

IndiQube positions itself prominently within India’s growing flexible office sector, fueled by shifting work patterns, hybrid models, and enterprises prioritising capital efficiency. CBRE estimates India’s flexible workspace stock surpassed 79 million sq ft, projected to reach 124 million sq ft in Tier-1 cities by end-CY2027. Bengaluru remains the largest flex market, and IndiQube—with dominance in the city—is well-placed to harness upcoming demand.

The company’s revenue growth, improved EBITDA margins, and tight enterprise alignment (63% of occupied area from clients leasing over 300 seats) reflect its focus on scalable, client‑centric operations. Its tech stack (MiQube) processed over 1 million tech transactions in FY25, underscoring its digital integrative edge.

⚠️ Risks & Analyst Considerations

While growth is compelling, investors should monitor:

• Geographic concentration risk, with Bengaluru, Pune, Chennai dominating operations

• Lease-driven fixed cost structure, especially in commercial real estate cycles

• Continued absence of net profitability, despite narrowing losses and improving EBITDA
  Potential changes in client recomposition, workspace demand cycles, or regulatory lease/book accounting shifts may impact performance.

📋 Quick Reference: IPO Timeline & Allocation

Offer Allocation: QIB ≤ 75% | NII ≤ 15% | Retail ≥ 10%
Pricing: ₹225–₹237 | Lot Size: 63 shares
Promoter Equity Post-IPO: ~60% (down from ~70%)
Aim: Value creation via scale, tech enablement, and financial discipline

🔍 Investor Takeaway

IndiQube’s IPO presents a compelling story of a growth-focused flexible workspace platform aggressive in scale and innovation, bridging demand shifts with enterprise-grade execution. While financials are still turning the corner, the firm’s strong unit economics and technology blend offers a differentiated play in India’s urban office transformation. Retail investors should assess allocation odds given a modest retail quota (~10%) and strong institutional appetite highlighted in recent categorisations.

📣 Hashtags

#IndiQubeIPO #FlexibleWorkspace #WorkspaceRevolution #IPO2025 #HybridWork #OfficeSolutions #QIB #RetailInvestors #ManagedOffices #IndiaMarkets