Now Reading: WeWork Inc sells 2.5% stake in WeWork India for Rs 244 cr
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WeWork Inc sells 2.5% stake in WeWork India for Rs 244 cr
WeWork Inc through its affiliate sold 35 lakh shares (2.53% stake) in WeWork India at Rs 697.55 apiece on Friday, netting Rs 244.1 crore. The stake sale came as the US co-working…
The Story in Brief
WeWork Inc through its affiliate sold 35 lakh shares (2.53% stake) in WeWork India at Rs 697.55 apiece on Friday, netting Rs 244.1 crore. The stake sale came as the US co-working giant booked profits after a 43% surge in the Indian unit's stock over three months.
Buyers included Motilal Oswal Asset Management Company, Citigroup Global Markets Mauritius, HDFC Standard Life Insurance, and ICICI Prudential Mutual Fund. Motilal Oswal and ICICI Prudential together bought over 27.8 lakh shares worth Rs 194.1 crore. Despite the stake sale, WeWork India reported a Q1 FY27 loss of Rs 4.1 crore, though revenue rose 28% to Rs 683.8 crore.
The Indian Opinion
The narrative that WeWork India's 43% stock rally signals unqualified success ignores a key signal: its largest shareholder is selling. While revenue growth and desk expansion are real, the company still posted a loss. Investors must separate the sector tailwind (flexible office demand) from the company's actual profitability. The question is not whether the market is growing, but whether WeWork India can turn its scale into sustainable profits. Watch the next quarter's EBITDA margin.
Source: inc42.com
This story was synthesised by AI from the source linked above.
