IndiQube aims to raise $75 million in equity funding to expand its commercial portfolio in major cities. With profitability achieved and a doubled annual recurring revenue of $100 million, IndiQube plans to acquire office properties alongside its lease model. The company's success in leasing 1 million square feet of office space and the growing demand for flexible workspaces contribute to its strong growth momentum. IndiQube's vision includes owning 1 million square feet of office space through the joint development model. Notable clients such as Myntra and Mahindra Logistics underscore the appeal of flexible spaces in India's market.
IndiQube sets its sights on raising approximately $75 million in equity funding to acquire prime commercial assets in major cities and expand its diverse portfolio. Co-founder Rishi Das revealed that they aim to raise equity within the next year as they have achieved profitability at the company level. Public-sector banks and private equity funds show significant interest in the flexible office operator space.
In April 2022, IndiQube secured $30 million in funding for expansion. Promoters, WestBridge Capital, and angel investor Ashish Gupta contribute, with the promoters themselves infusing $17 million. IndiQube aims to solidify its presence in both Tier I and Tier II cities by expanding its office space from the current 7 million square feet across 85 properties to an impressive 15 million square feet. The company makes inroads into Tier II cities and continues acquiring office properties alongside its successful lease model.
Das highlights that over the past six months, the company has leased around 1 million square feet of office space in major cities and actively sought further asset acquisitions due to the surging demand. The company’s assets boast an impressive 88 percent occupancy rate, demonstrating the increasing preference for flexible and managed office spaces. In its quest to solidify its market position, IndiQube actively pursues office property acquisitions alongside its successful lease model. Das outlines their vision, stating that within the next two years, we aim to own 1 million square feet of office space through the joint development model.
IndiQube counts esteemed companies such as Myntra, Mahindra Logistics, Air India, and Ultratech Cement among its clients. The demand for flexible spaces in India remains robust as businesses seek cost optimization, proximity to their workforce, and flexible work options to retain top talent.
According to CBRE, a leading consultancy firm, technology companies will lead leasing activity during the first quarter of 2023. BFSI firms and flexible space operators contribute equally, each accounting for approximately 22 percent of space take-up. Notably, office leasing activity witnessed a remarkable 9 percent year-on-year increase, reaching a total of 12.6 million square feet during the period. The cities of Bengaluru, Delhi-NCR, and Chennai spearhead transaction activity, collectively representing 62 percent of the market share.
Founded in 2015 by Rishi Das and Meghna Agarwal, IndiQube aims to transform workspaces in India. Recognizing the challenges faced by enterprises in terms of volatility, high capital expenditures, and long-term leases, the co-founders developed IndiQube as a tech-enabled, integrated, and flexible workspace startup. Their vision was to offer accessible, affordable, and personalized workspaces that prioritize employee satisfaction. IndiQube has since become a trusted managed office space brand, revolutionizing the way companies approach their office space requirements.
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