DevX Shares Hit Lower Circuit For Second Straight Session

Continuing their downward trajectory post the listing day, shares of coworking space provider DevX (Dev Accelerator) tumbled 5% to hit the lower circuit at INR 58.10 apiece on the BSE today.

This was a drop of 5.3% from the listing price of INR 61.3 on Wednesday (September 17).

The company’s market capitalisation stood at INR 524 Cr (about $59.3 Mn), with a trade volume of 8.8 Lakh.

On the listing day, the stock rose to touch a high of INR 64.36. However, it has been under pressure since the second trading session, hitting the lower circuit yesterday.

The company’s IPO, which solely consisted of a fresh issue of 2.35 Cr shares, was oversubscribed 64X.

With the listing, DevX became the latest coworking space provider to make its public market debut after Awfis, Smartworks and IndiQube.

Founded in 2017 by Parth Shah, Rushit Shah and Umesh Uttamchandani, DevX offers managed office spaces, coworking spaces, designing services, among others, to businesses. The company claims to be the largest provider of flex spaces in tier II cities of the country in terms of stock, and counts the likes of Zomato, WhiteOak, Tim Hortons, Hitachi, and Darwinbox among its clients. It operates 25 centres in 10 cities in the country.

DevX plans to use INR 73.1 Cr from the IPO proceeds for fit-outs of four new centres in Surat, Pune, Ahmedabad, and Sydney. Besides, INR 35 Cr will be utilised for debt repayment, and the rest for general corporate purposes.

On the financial front, DevX’s consolidated net profit surged 286% to INR 1.7 Cr in FY25 from INR 44 Lakh in the previous fiscal year. Operating revenues grew 47% to INR 158.8 Cr during the year under review from INR 108 Cr in FY24.

Brokerages like Reliance Securities and BP Wealth recommended subscribing to DevX IPO, citing its strong financial performance and operating metrics, strategic positioning in tier II markets, and its planned expansion in tier I markets.

“DevX has carved a niche as a tier II market leader in the managed workspace segment, backed by strong occupancies and a clear focus on enterprise-grade solutions. Its multi-model approach ensures a balance between growth and capital efficiency, while key metrics such as revenue and Return on Capital Employed (ROCE) have shown strong improvement. The company’s planned expansion into tier I cities and its upcoming overseas foray add meaningful long-term growth potential,” said Reliance Securities.

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