Office-sharing startup WeWork India is targeting 10,000 desks across three cities - Bengaluru, Delhi and Mumbai - over the next six months after a $30 million fund-raise recently.
To that end, it recently opened a 2,300-seater community, WeWork Galaxy at Residency Road in Bengaluru late last week, Juggy Marwah, India lead at WeWork, told BloombergQuint. The next stop - Mumbai with a 2,000-desk facility, followed by Gurugram.
The seven-year-old company which rents out desks and offices to small businesses, freelancers, large enterprises and startups, is a joint venture between New York-based WeWork and the builder Embassy Group. Its users include Microsoft which has a 500-seat space at its Bengaluru facility, non-governmental organisation Meghshala and startup Monkey Box, according to Director Karan Virwani. “Nearly 70 percent of the 1,200 seats that are currently available are already occupied,” he said.
Co-working or shared workspaces are gradually catching up in India. Of the 151 startups in this space, 14 have together raised $36 million so far, according to data curation platform Tracxn, In May, Awfis, the country’s largest shared workspace provider by number of seats, raised Rs 127 crore ($20 million) from Sequoia India.
In May, WeWork India raised $5 million from parent company WeWork, while the Embassy Group had earlier pumped in $25 million, documents filed with the registrar of companies show. Virwani declined to specify how the company would use these funds.
Parent WeWork became the world’s fifth most valuable technology startup this week after raising $760 million in a funding round that takes its valuation to $20 billion, according to a Bloomberg report.
India is also the first market for WeWork where it does not lease on its own. It is also tying up with developers other than Embassy while WeWork lends its brand, for a fixed management fee and a share of the profits, Virwani said. “Out of five properties we have signed for further expansion, only two are from Embassy,” he said.