WeWork Management bulk deal: CLSA sells 8.4 lakh shares in recently listed stock for Rs 52 crore

Synopsis

Global markets company CLSA sold over 8 lakh shares in WeWork India Management on Monday. The deal size reached Rs 52 crore. WeWork India shares continued their decline for a second day. The stock is trading below its IPO price. The company's recent IPO saw lukewarm response from retail investors. Qualified Institutional Buyers drove the subscription.

Global markets and assets management company CLSA sold around 8.4 lakh shares in WeWork India Management via a bulk deal on Monday. The shares were sold at a price of Rs 618.55 apiece taking the deal size to Rs 52 crore.

The shares were sold through company's affiliate CLSA Global Markets Pte. LTD - ODI at a discount of Rs 1.6% from the Friday closing price of Rs 628.65 on the NSE.

Shares of WeWork Management continued their slide for the second day in a row on Monday, ending at Rs 611.20, down by Rs 17.45 or 2.8% from the Friday closing price. The stock which made its debut on Friday is trading 6% below its issue price of Rs 648.

The company shares made a weak debut on stock exchanges, getting listed at just a 0.3% premium on the NSE at Rs 650.

WeWork India’s Rs 3,000-crore Initial Public Offering (IPO) closed on October 7. It was fully subscribed at 1.15 times, though the response from retail and non-institutional investors was lukewarm. Retail Individual Investors (RIIs) had subscribed 61% of their allotted 46.23 lakh shares, while Non-Institutional Investors (NIIs) accounted for just 23% of their 69.35 lakh share allocation. Qualified Institutional Buyers (QIBs) drove the subscription, oversubscribing their portion 1.79 times.

The IPO was structured entirely as an Offer-for-Sale (OFS), meaning the company did not raise fresh capital. The proceeds will go to existing shareholders, including Embassy Group and WeWork Global, which also continues as the brand licensor and investor in India.

Founded in 2017, WeWork India operates 68 premium flexible workspaces across eight cities, spanning 7.35 million sq. ft., serving blue-chip clients such as JP Morgan, Amazon, and Uber. Enterprise tenants account for nearly 60% of the portfolio, well above the industry average.

The company has also delivered a financial turnaround in recent years. Revenue rose from Rs 1,314 crore in FY23 to Rs 1,949 crore in FY25, while profits swung from a Rs 147-crore loss to a Rs 128-crore net gain over the same period. Adjusted EBITDA margins reached 21.6% in FY25, indicating operational efficiency.

However, the IPO valuation comes at a premium, with the offer priced at 65 times FY25 earnings at the upper end of the band. Listed peer Awfis Space trades at a P/E of 58x, while other competitors like Smartworks and Indiqube remain unprofitable.

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