DevX IPO: Issue Oversubscribed 1.8X On Day 1 So Far

Coworking space provider DevX’s (Dev Accelerator) IPO got off to a strong start, with the public issue oversubscribed by 1.8X at 11:30 on the first day of bidding. The IPO received bids for 2.43 Cr shares as against 1.31 Cr shares on offer.

The retail investors’ portion saw the highest subscription at 5.9X, receiving bids for 1.35 Cr shares against 23 Lakh shares on offer.

Qualified institutional buyers (QIBs) bid for 75.57 Lakh shares against 69.01 Lakh shares on offer, resulting in 1.1X subscription. Non-institutional investors (NIIs) bid for 27.24 Lakh shares compared to 34.50 Lakh shares reserved for them, translating to a 0.79X subscription.

The portion reserved for employees was subscribed 0.9X.

DevX has set a price band of INR 56 to INR 61 for its IPO, which comprises only a fresh issue of up to 2.35 Cr shares. At the upper end of the price band, DevX plans to raise INR 143.3 Cr from the IPO. The IPO values the company at INR 550.1 Cr (about $62 Mn) at the price of INR 61.

The public issue will close on Friday (September 12) and its shares are expected to list on the stock exchanges on September 17.

Yesterday, the company raised INR 63.2 Cr from anchor investors.

Founded in 2017 by Parth Shah, Rushit Shah and Umesh Uttamchandani, DevX provides managed office spaces, coworking spaces, designing services, among others. It claims to be one of the largest flex space operators in terms of stock in tier II cities in the country.

In the lead-up to the IPO, DevX’s net profit rose 286% to INR 1.7 Cr in FY25 from INR 44 Lakh in the previous fiscal year. Operating revenue grew 47% to INR 158.8 Cr during the year under review from INR 108 Cr in FY24.

DevX is set to become the fourth coworking operator to list on the Indian bourses, after Awfis, Smartworks, and IndiQube. Yet another bigger rival in the coworking space, WeWork India, is also in the process of its public listing. In July, it got SEBI’s nod for its IPO, which will comprise solely an OFS of up to 4.4 Cr equity shares.

Meanwhile, the IPO of yet another new-age tech company Urban Company also opened today for subscription. Its public issue was subscribed 57%, with investors bidding for 6 Cr shares against 10.7 Cr shares on offer, as of 10:45 today.

The post DevX IPO: Issue Oversubscribed 1.8X On Day 1 So Far appeared first on Inc42 Media.