Smartworks Coworking shares make a muted market debut; stock list at 7% premium

Shares of Smartworks Coworking Spaces made a muted Dalal Street debut on Thursday, July 17 as the new-age office solutions player was listed at Rs 436.10 on BSE, a premium of 7.15 per cent over its issue price of Rs 407. Similarly, the stock kicked-off its maiden trading session on NSE with a premium of 688 per cent over the given issue price at Rs 435.

Listing of Smartworks Coworking Spaces has been on the expected lines. Ahead of their listing, shares of Smartworks Coworking Spaces were commanding a grey market premium (GMP) of Rs 20-25 per share in the unofficial market, suggesting a listing pop of 5-6 per cent to the investors. The GMP stood around Rs 30, when the issue had opened for bidding.

The IPO of Smartworks Coworking Spaces ran for bidding between July 10 and July 14. It sold its shares in the price band of Rs 387-407 per share with a lot size of 36 shares. The company raised a total of Rs 582.56 crore from its IPO, which included a fresh share sale of Rs 445 crore and an offer-for-sale (OFS) of 33,79,740 equity shares.

The issue was overall subscribed a total of 13.45 times, fetching more than 4.52 lakh applications. The portion for qualified-institutional bidders (QIBs) was subscribed a solid 24.41 times. The portion for non-institutional investors (NIIs) was subscribed 22.78 times. Quotas for retail and employees were booked 3.53 times and 2.38 times, respectively.

Incorporated in 2015, New Delhi-based Smartworks Coworking Spaces is engaged in the business of customized managed workspace solutions, offering fully serviced, tech-enabled office environments with aesthetic designs and essential amenities to meet the specific needs of enterprises and their employees.

Brokerage firms had mixed views on the issue, with some suggested to subscribe to it, while a few saw it as an avoid. JM Financial, IIFL Capital Services, BoB Capital Markets and Kotak Mahindra Capital Company enacted the book-running lead managers of the Smartworks IPO, while MUFG Intime India (Link Intime) served as the registrar for the issue.