Awfis Space IPO Subscription/GMP on Final Day : The IPO of Office Space Solutions (Awfis Space Solutions IPO Final Day) has received a strong response from investors today on the fourth and last day, 27 May 2024. This IPO has been subscribed 108 times overall. There is also a lot of activity about the IPO in the gray market. The IPO was open for investment on 22 May and it closed on 27 May. Looking at the subscription status and GMP, high listing gains are expected in it. The price band for the IPO has been fixed at Rs 364-386 per share (Awfis Space IPO Price Band).
Overall subscribed 108 times
Awfis Space’s IPO has finally been subscribed 108 times (Awfis Space Solutions Subscription). In this IPO, 10 percent share was reserved for retail investors and it has been filled 52.49 times in total. At the same time, 75 percent share was reserved for qualified institutional buyers i.e. QIB and it has been filled 116.95 times overall. While 15 percent share was reserved for non-institutional investors i.e. NII and it has been filled 129.16 times in total. The reserved share for employees has been filled 24.26 times.
Awfis Space IPO GMP
The craze for Office Space Solutions in the grey market has subsided a bit, but the buzz remains. On the last day of the IPO, its premium in the grey market is Rs 115. This premium is 30 per cent in terms of the upper price band of Rs 383. If we look at the grey market indications, this share may be listed at Rs 498 as compared to the issue price of Rs 383. At the start of the IPO, the GMP was looking more than 40 per cent.
Positive factors with the company
• Leadership in a large and growing market
• Innovating in the flexible workspace industry with the company’s adoption of the MA model
• Diverse space sourcing and demand strategies
• Development through an integrated platform approach
• Experienced and diverse senior management team
What are the risk factors associated with the company?
• The company has a history of net losses, negative earnings per share (EPS) and return on net worth (RoNW) and needs to generate and maintain increased revenues while managing its expenses to achieve this. Profitability and their inability to achieve these goals could have an adverse impact on the business.
• The company has experienced negative cash flow in the last financial year and this may continue in the future.
• The Company enters into Space Owner Agreements to provide operations and marketing services with respect to its Managed Aggregation (MA) Centres and such Space Owner Agreements are subject to risks.
• The Company has entered into Long Term Fixed Cost Leases, i.e. SL, for 1.94 million sq. ft. covering a total of 62 centres across 11 cities and 9 states and representing 33.57% of total occupancy as of December 31, 2023. This may result in adverse impact on liquidity, results of operations, cash flows.