- Anchor Investor Bidding Date – May 21, 2024
- Bid / Offer Closing Date – May 27, 2024
- Bids can be made for a minimum of 39 Equity Shares and in multiples of 39 Equity Shares thereafter
NE BUSINESS BUREAU
AHMEDABAD, MAY 18
Awfis Space Solutions Ltd., which provides flexible workspace solutions in India, has on Friday announced to open its ₹599 crore initial public offering (IPO) of equity shares on May 22, 2024 in the price band of ₹364 to ₹383 per equity share. The bidding for anchor investors will open for a day on May 21.
Bids can be made for a minimum of 39 shares and multiples of 39 shares thereafter. The IPO will close on May 27, 2024.
The IPO comprises a fresh issue of ₹128 crore and an offer for sale (OFS) of up to 12,295,699 shares by selling shareholders. At the upper price band the OFS would fetch ₹471 crore. This takes the total IPO size to ₹599 crore.
Promoter Peak XV Partners Investments V (formerly known as SCI Investments) and shareholders Bisque Limited and Link Investment Trust will offload shares in the OFS.
At present, Peak XV holds 22.86 per cent stake in Awfis Space Solutions, Bisque and Link Investment Trust own 23.47 per cent and 0.36 per cent stake, respectively, in the company.
Proceeds from the fresh issue would be used towards funding capital expenditure towards setting-up new centres, supporting working capital requirements, and general corporate purposes.
The company said that 75 per cent of the issue size has been reserved for qualified institutional bidders (QIBs), 15 per cent for non-institutional investors and the remaining 10 per cent for retail investors.
“Today, almost 65% of our business comes from large corporates, while about 20% comes from SMEs and mid corporates and about 10% comes from startups, which was very different a few years back, where almost less than about 50% used to come from a large enterprises,” Chairman and Managing Director Amit Ramani said.
“We will focus on growing our portfolio of centres under the managed aggregation model. Under the model, the company partners with developers and landowners of commercial properties, who bring in the majority of the capital for the fit-out, in exchange for a share of revenue or profit. At present, 66% of its portfolio of 169 centres are under a managed aggregation model and the rest is under a fixed-cost straight lease,” Ramani added.
Awfis Space Solutions provides a wide spectrum of flexible workspace solutions ranging from individual flexible desk needs to customised office spaces for startups, small and medium enterprises as well as for large corporates and multi-national corporations.
Awfis currently has centres in 16 cities, including Ahmedabad in Gujarat, with total 105,258 seats and a total chargeable area of 5.33 million sqft.
The Equity Shares are proposed to be listed on both BSE Limited and the National Stock Exchange of India Limited.
ICICI Securities Limited, Axis Capital Limited, IIFL Securities Limited, and Emkay Global Financial Services Limited are the book-running lead managers to the public issue.
