Space table eyes $2.5B valuation in India IPO

Table Space, a provider of managed workspace in India, is targeting a valuation of $2.5 billion or more in an IPO planned for next year, sources familiar with the matter told TechCrunch.

The Bengaluru-headquartered startup has hired Axis as underwriter for the IPO, sources said.

Founded in 2017, Table Space leases large office spaces, converts them into full-service, technology-enabled campuses, and offers them to corporate clients as customized offices, co-working spaces, and managed meeting rooms. Hillhouse Capital has invested $300 million in Table Space in a funding round due in late 2022, and the startup is currently valued at about $550 million.

The company operates more than 60 centers in six urban cities in India, mainly serving Fortune 500 companies such as Apple, Google, Mastercard, PayPal, AMD, Ericsson and Shell. The startup has expanded its real estate portfolio to over 9.5 million square feet across major cities in India, and aims to double this footprint within three years with an investment of around $535 million.

Table Space declined to comment.

In a recent interview with an Indian daily, the company’s founder and president Kunal Mehra said the company expects its annual revenue to reach nearly $600 million by March 2027.

Table Space’s IPO and expansion plans come at a time of little uncertainty in the dynamic workspace sector. While WeWork’s high-profile struggles have cast doubt on the viability of the co-working space business model globally, demand for flexible office space in India’s major cities remains strong, driven by a booming tech sector and multinational companies looking to reduce long-term lease commitments.

Table Space’s IPO plans also follow the impressive public debut of Awfis, the Peak XV-backed co-working space provider whose stock is up nearly 70% in the five months since its IPO. Several startups, including WeWork India, Indiqube and Simpliwork are also in various stages of discussions to go public.

The Indian market has delivered more tech IPOs this year than the US as valuation multiples approach all-time highs in the South Asian market. Indian firms have raised more than $9 billion through IPOs and FPOs this year, as growth-stage startup deals remain muted.