WeWork India Management shares drop up to 4% after flat listing

New Delhi: Shares of WeWork India Management, a co-working space operator, made a flat debut on bourses on Friday.

The stock listed at Rs 650 per share, a premium of 0.31 per cent from the issue price on the NSE. Later, it traded 3.84 per cent lower at Rs 623.10 apiece.

On the BSE, the shares started trading at Rs 646.50, down by 0.23 per cent from the issue price.

After the listing of the shares, the company's market valuation stood at Rs 8,598.93 crore on the BSE.

The initial public offering (IPO) of WeWork India Management received 1.15 times subscription on the last day of bidding on Tuesday. Last week, WeWork India collected a little over Rs 1,348 crore from anchor investors.

The Rs 3,000-crore company's IPO has a price band of Rs 615-648 per share.

The public issue was entirely an offer for sale of up to 4.63 crore equity shares, saw promoter group entity Embassy Buildcon LLP and investor 1 Ariel Way Tenant Ltd (part of WeWork Global) divest their stakes.

In its draft papers, WeWork India stated that the objective of the offer is to achieve the benefits of listing its equity shares on the stock exchanges. The company expects the listing to enhance visibility, provide liquidity to existing shareholders, and establish a public market for its stock in India.

Founded in 2017, WeWork India operates under an exclusive licence of the WeWork brand in India, promoted by Bengaluru-based real estate developer Embassy Group.

At present, WeWork India operates across Tier-1 cities, including Bengaluru, Mumbai, Pune, Hyderabad, Gurugram, Noida, Delhi, and Chennai, managing 77 lakh sq ft of space, of which 70 lakh sq ft is operational, with a desk capacity of 1.03 lakh. The firm employs over 500 people.