Indiqube Spaces IPO Sees 1.42 Times Subscription on Day 2

The Indiqube Spaces IPO has received a tepid response from investors, with a subscription of 1.42 times by the start of Day 2. The company is offering shares in a price band of Rs. 225 to Rs. 237 per share, with a minimum lot size of 63 shares. The issue size stands at Rs. 700 crore, of which Rs. 650 crore is a fresh issue and Rs. 50 crore is an offer for sale. Stay tuned for the latest updates on the Indiqube Spaces IPO subscription status as the offering progresses.

Indiqube Spaces IPO Subscription Status - Day 2

By the end of Day 2, the Indiqube Spaces IPO witnessed a total subscription of 1.42 times. The Retail Individual Investors (RIIs) segment led the demand with a strong subscription of 5.17 times, followed by the Non-Institutional Investors (NII) category at 1.19 times. The Qualified Institutional Buyers (QIB) portion saw a relatively modest response, being subscribed 0.27 times.

Last updated: 11:50 AM, Thursday, 24 Jul 2025

Indiqube Spaces IPO Subscription Status - Day 1

The Indiqube Spaces IPO has received a lukewarm response from investors, with an overall subscription of just 0.93x on Day 1. While the Retail Category showed relatively better interest, subscribing at 3.63x, the Non-Institutional Investors (NIIs) had a more modest response at 0.83x. However, Qualified Institutional Buyers (QIBs) remained largely indifferent, with only 0.06x subscription on the opening day.

Company Overview of Indiqube Spaces IPO 

IndiQube Spaces Limited is a managed workplace solutions company. It aims to redefine traditional workplaces by offering comprehensive, technology-driven, and sustainable office environments. The company provides flexible office spaces, ranging from large corporate hubs to smaller branch offices, across 15 cities in India.

IndiQube has service offerings beyond just leasing space; they include interior design, facility management, and a wide array of value-added services such as IT infrastructure, furniture, food and beverage, and transportation. These services are streamlined through its in-house tech stack, MiQube, which facilitates bookings, service requests, and overall workspace management.

The company employs both backward and forward integration. Backward integration involves renovating assets and turning ageing properties into modern, green workspaces, which made up 29.57% of its portfolio as of March 31, 2025. Forward integration encompasses its B2B and B2C services, with value-added services (VAS) revenue growing significantly.

As of March 31, 2025, IndiQube manages a portfolio of 115 centers (105 operational and 10 under Letter of Intent (LOI)) across 15 cities, covering 8.40 million square feet of area under management (AUM) with a total seating capacity of 1,86,719, with an occupancy rate of 86.50%. Bengaluru accounts for around 65% of its AUM in square foot space and 65 centres.

They derive 11.80% of operational revenue from the top 5 clients as of March 31, 2025. The company primarily leases full buildings, with 64.71% of its portfolio in this format, aiming for better control and efficiency. IndiQube serves over 769 clients, with Global Capability Centers (GCCs) comprising 43.56% of its clientele. As of FY25, the company earns 87.46% from Workspace Leasing and the remaining 12.74% from VAS.

Strengths and Risks of Indiqube Spaces IPO

Let’s dive into the strengths and risks to assess if the IndiQube Spaces IPO is good or bad for investors.

Strengths: 

• Leading Player in a Growing Market: IndiQube has a comprehensive footprint spanning 15 cities, including eight Tier-I and seven non-Tier I cities, with over 1,86,719 seats in 115 centers as of March 31, 2025, positioning it as a leading operator in the expanding Indian flexible workspace segment. It is among the leading operators in Bengaluru, which is currently India's largest flexible workspace market.

• Strategic Acquisition and Value Creation: The company prioritises acquiring full buildings in high-demand micro-markets and undertakes renovation and upgradation of older Grade B properties into technology-enabled workspaces, with renovated centers making up 25.22% of its total portfolio as of March 31, 2025.

• Prudent Business Management with Strong Operational Metrics: IndiQube focuses on leasing large to mid-sized full buildings which stands 64.71% of its portfolio, and boasts a low average monthly net churn rate of (0.23%) as of March 31, 2025, and achieves a healthy cash EBIT margin of 10.81% in FY25.

• Capital Efficient Model and Risk Mitigation: Operating on an asset-light model with 10-year leases and typically three-year lock-in periods, the company has a capital expenditure of Rs. 1,507.00 per square feet as of March 31, 2025, reflecting cost efficiency. Its diversified client base minimizes concentration risk, with the top client accounting for only 3.47% of revenue in Fiscal 2025.

• Experienced Leadership: The company is led by experienced promoters (Rishi Das, Meghna Agarwal, and Anshuman Das) and a professional management team and is backed by prominent investors like WestBridge Capital and individual investor Ashish Gupta.

• Commitment to Green Buildings: The company is dedicated to promoting an ecosystem of green buildings, with 36.44% of its operational area across 29 centers holding green certifications as of March 31, 2025. 

Risks:

• High Revenue Concentration: For Fiscal 2025, 88.84% of IndiQube's revenue from operations was derived from its centers in Bengaluru, Pune, and Chennai collectively. Any adverse developments affecting these locations could significantly impact the business.

• Sensitivity to Real Estate Market Fluctuations: The business is sensitive to real estate market fluctuations and witnessed a decline in its occupancy rate from 83.68% as of March 31, 2023, to 80.21% as of March 31, 2024.

• Consistent Net Losses: IndiQube has experienced net losses for the last three fiscal years Rs. 198.10 crore in FY23, Rs. 341.50 crore in FY24, and Rs. 139.61 crore in FY25, and based on the macroeconomic or dynamic nature, it may continue to incur losses in the future.

• Reliance on Leased Properties with Associated Risks: The company does not own the properties where its centers are located, relying on leased premises. Risks include potential defects in landlord titles, and issues with the stamping and registration of lease agreements, with 22.40% of its active stock being unregistered as of March 31, 2025.

• Significant Competitive Pressures: IndiQube faces significant competitive pressures in the highly competitive workspace solutions industry, competing with large multinational and Indian companies, as well as regional and local players.

• Substantial Capex and Working Capital Requirements: The business has substantial capital expenditure and working capital requirements and may need additional financing, which could increase indebtedness or dilute existing shareholdings.

Indiqube Spaces IPO Details

• IPO Date: July 23, 2025 to July 25, 2025

• Issue Price: Rs. 225 to Rs. 237 per share

• Lot Size: 63 shares

• Total Issue Size: 2,95,35,864 shares (aggregating up to Rs. 700.00 crore)

• Tentative Allotment Date: July 28, 2025

• Tentative Listing Date: July 30, 2025

How to Apply for Indiqube Spaces IPO

• Visit the Rupeezy app or Rupezy DOCK.

• Navigate to the IPO section on the Home Page

• Here, you can view all the IPOs with details such as market lot, minimum bid quantity, price range, and analysis.

• You can read the Red Herring Prospectus for the issue details.

• Click on Apply.

• Enter your UPI ID for payment & place the bid.

• While placing the bid, enter the cutoff price or desired price in the range specified. Select quantity as per lot size. 

• Submit to complete the order.