Indiqube Spaces IPO opens today: Should you subscribe to it?

The initial public offering (IPO) of Indiqube Spaces kick-off for bidding on Wednesday, July 23. The company is selling its shares in the range of Rs 225-237 apiece, for which investors can bid for a minimum of 63 equity shares and its multiples thereafter. The issue shall close for bidding on Friday, July 24.

Indiqube Spaces is looking to raise a total of Rs 700 crore via its primary offering which includes a fresh share sale of Rs 650 crore and an offer-for-sale (OFS) of up to 21,09,704 equity shares worth Rs 50 crore by the promoters and existing shareholders. The proceeds from the fresh issue shall be used towards debt repayment, funding the capex and general corporate purposes.

Incorporated in 2015, Bangalore-based Indiqube Spaces provides managed, sustainable, and tech-driven workplace solutions, aiming to transform the traditional office experience for modern businesses. It offers diverse workplace solutions, including corporate hubs and branch offices, enhancing employee experience with interiors, amenities, and services.

Indiqube Spaces has raised Rs 314.3 crore from 29 anchor investors as it finalised allocation of 1.3 crore shares at Rs 237 apiece. Tocu Europe, BNP Paribas Financial Markets, Societe Generale, Aditya Birla Sun Life AMC, Ashoka Whiteoak, Invesco, Bandhan Mutual Fund, Motilal Oswal AMC, Malabar India Fund, Edelweiss, Baroda BNP Paribas and Grow participated in the anchor book.

Indiqube Spaces reported a net loss of Rs 139.62 crore with a revenue of Rs 1,102.93 crore for the financial year ended on March 31, 2025. Its net profit stood at Rs 341.51 crore with a revenue of Rs 867.66 crore for the year 2023-24. At the IPO prices, the company commands a market capitalization close to Rs 4,977 crore.

IndiQube has reserved 75 per cent of the offer for qualified institutional bidders (QIBs), while non-institutional investors (NIIs) will have 15 per cent of the net issue. Retail investors will have the remaining 10 per cent of shares reserved for them. It was commanding a grey market premium of Rs 23-25 apiece, suggesting a listing pop of around 10 per cent for investors.

The issue is managed by ICICI Securities and JM Financial, while MUFG Intime India serves as the registrar for the IPO of Indiqube Spaces. Shares of the company shall be listed on both BSE and NSE with Wednesday, July 30 as the tentative date of listing. Here's what a host of brokerage firms say about the IPO of Indiqube Spaces:

KR Choksey Finserv
Rating: Neutral
Indiqube Spaces, is one of India's leading and organized, flexible managed office workspace providers. As of March 31, 2025, it operated 115 centers spanning across 8 Tier I cities and 7 non-Tier I cities, with a total area under management of 8.4 Mn. Sq. Ft. and rentable area of 6.3 million sq. ft. with occupancy ranging from 80-85 per cent over the last three years, said KR Choksey.

"IndiQube’s initial issue is priced at 8.4 times TTM EV/Ebitda, compared to the domestic peer average of 12.2 times TTM EV/Ebitda. The issue is priced at 47.4 times FY25 EV/Adjusted cash Ebitda. On comparing the growth with peers, we believe the IndiQube’s initial offering is fully priced in, and we assign a 'neutral' rating to the issue" it added.
 

SBI Securities
Rating: Avoid
IndiQuebe is generating loss due to heavy depreciation. The free cash flow after adjusting for the lease payments remains negative. The issue is valued at FY25 EV/Adj. Ebitda of 40.7 times, which is at a premium to listed peers, said SBI Securities.

"We recommend investors to 'avoid' the issue and track the company's performance post listing, especially focusing on its capital efficiency. We believe companies like Awfis Space Solutions offer better investment opportunities within the coworking space which is currently profitable and trades at FY25 EV/Adj. EBITDA of 28.1 times," it added.


Anand Rathi Shares & Stock Brokers
Rating: Subscribe for long-term
IndiQube operate a 'hub‑and‑spoke' model for workspace delivery across clients ranging from startups to global corporate capability centers. As of March 31, 2025, it oversaw 115 centres across 15 Indian cities, managing 8.40 million sq ft with a total seating capacity of 186,719.It plans to expand its commercial real estate portfolio, said Anand Rathi.

"Its integrated tech platform, MiQube, connects clients, employees, and service partners to streamline office operations, enhance efficiency, and improve overall workspace experience. The company is valued at P/S of 4.7 times with EV/Ebitda of 14.6 times. We believe that the IPO is fully priced and recommend a 'subscribe for long term' rating to the IPO," it said.


Arihant Capital Markets
Rating: Subscribe for long-term
Indiqube is a leading provider of tech-enabled, fully managed office spaces across key Indian metros, operating through a scalable and asset-light model. The company has demonstrated strong growth in its managed area and tenant base, driven by increasing demand for flexible workspaces in high-growth cities like Bengaluru, Pune, and Chennai, said Arihant Capital.

"With a diversified tenant portfolio and high client retention, Indiqube is well-positioned to benefit from the shift toward hybrid and agile workspace solutions. The IPO is valued at an EV/Ebitda of 8.6 times (FY25 basis) .We recommend a 'subscribe for listing gain' given its strong positioning and sectoral tailwinds," it added.


Kunvarji Finstock
Rating: Subscribe
Indiqube reported an weighted average EPS of -Rs 15.07. It has posted losses from the past three fiscal years. As the company is making losses, the P/E ratio cannot be calculated. The issue is negatively priced, said Kunvarji Finstock.

"We recommend subscribing to this IPO with a long term view only. The company holds a strong market share and is a preferred partner among leading IT giants. It has recorded healthy growth in its topline and in operating profit, Losses were reported due to Ind AS accounting standards. There is room for geographical expansion," it added.
 

SMIFS
Rating: Subscribe
The company’s shift to bundled offerings and upcoming ESG-aligned "Sustainability-as-a-Service" initiatives are expected to further boost yield per sq. ft., ensuring IndiQube’s revenue growth outpaces industry averages through a combination of scale, premium locations, and service-led differentiation, said SMIFS.

"We recommend subscribing to the issue as a long term investment, supported by robust industry growth trends and reasonable valuations, while acknowledging potential short to medium-term cash flow risks," it added.