Awfis Space Solutions shares list at 14% premium over issue price

The issue received overwhelming response from with an overall subscription of over 100 times at close.

"Awfis' financial situation warrants caution Despite impressive , the company struggles with achieving profitability. Negative cash flow and a highly competitive market pose additional challenges. While the high subscription suggests investor interest in the growing , the necessitate a neutral stance," said Shivani Nyati, Head of Wealth, .

The company said it plans to utilise the net proceeds from the fresh issue of shares for expansion and establishing new centres, working capital requirements and general corporate purposes.

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Awfis is the largest flexible workspace solutions company in India as on December 2023, based on total number of centers.

The company provides a wide spectrum of flexible workspace solutions ranging from individual flexible desk needs to customized office spaces for start-ups, small and medium enterprises as well as for large corporations and multinational corporations.

Its operating revenue for the nine months ended December 2023 came in at Rs 616 crore. For FY23, the company’s operating revenue had more than doubled from FY22 at Rs 545 crore.

Awfis Space Solutions, however, continues to incur losses. For the April-December 2023 period, the company reported a loss after tax of Rs 18.9 crore. For FY23, its net loss came in at Rs 46.6 crore, compared with Rs 57.3 crore in FY22.

, , , acted as the book running lead managers to the issue.