Bengaluru-based managed workspace provider Tablespace Technologies has filed a draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise ₹800 crore through a fresh issue, along with an offer-for-sale (OFS) of 65.47 million equity shares. According to the latest reports from The Economic Times, the shares will have a face value of ₹1 each and will be offered by the promoter and other selling shareholders. The company may also consider raising up to ₹160 crore through a pre-IPO round before filing the red herring prospectus with the Registrar of Companies. This pre-IPO amount will be part of the fresh issue component, with the final fresh issue size being reduced if the company raises funds through pre-IPO placement.
Promoter AGS TS II Holdings Pte, owned by Singapore-based global alternative investment manager Hillhouse Investment, will be the largest seller among the selling shareholders, offloading up to 49.83 million shares through the OFS. As reported by The Economic Times, individual promoters Karan Chopra and Kunal Mehra, along with Srinivas Prasad, Narendra Kumar Kamaraju, RSP Real Estate LLP and Ramachandra Venkatasubba Rao, will be the other selling shareholders in the OFS. Hillhouse Investment currently holds a 41.76 percent stake in the company, followed by Amit Mono Banerji with a 22.14 percent stake and Karan Chopra with a 12.47 percent stake. Founder Karan Chopra plans to sell 1.31 million shares and co-CEO Kunal Mehra will offload 10.07 million shares through the OFS. The company's promoters are Karan Chopra, Kunal Mehra, Sarita Banerji, KAM Advisors Private Limited and AGS TS II Holdings Pte.
In a significant expansion move, Tablespace Technologies has leased 500,000 square feet of commercial space in Hyderabad's Laxmi Infobahn Software Park for a five-year period at a total rent of ₹163 crore. According to transaction documents accessed by Propstack, the company will pay rent for a chargeable area of 506,251 square feet, putting the monthly rent rate at ₹56 per square foot. The lease agreement includes a security deposit of ₹28.35 crore and will be applicable for five years, with rent escalating by 15 percent every three years. The company is taking space in towers 5 and 6 of the industry parks, which also houses tenants like Capgemini, Cognizant and Alstom. This expansion follows the company's earlier deal for around 400,000 square feet at Grava Business Park in Kokapet's emerging Neopolis business district in May 2026.
Tablespace Technologies specialises in providing premium managed workspace solutions through a portfolio comprising 9.33 million square feet of leasable area as of March 31, 2026, across 33 key office clusters in eight Tier-1 cities in India: Bengaluru, Mumbai Metropolitan Region (MMR), Hyderabad, Gurugram, Chennai, Pune, Noida and New Delhi. According to the CBRE Report cited in the DRHP, 98.01 percent of the leased area is located in Grade A properties. The company serves Global Capability Centres (GCCs), Fortune 500 companies and multinational corporations through its integrated "single-cheque" model covering leasing, design, fit-out, operations, facilities management and compliance across the workspace lifecycle. The company will join listed co-working, managed office and flex-space operators including WeWork India, Smartworks, Awfis Space Solutions, Dev Accelerator and Kontor Space post-IPO.
The company reported normalised revenue of ₹2,477.68 crore for FY26, registering a 56.42 percent growth over the previous year. As reported by The Economic Times, the company reported EBITDA of ₹453.79 crore for FY26, up 124.36 percent year-on-year. The company's profit before exceptional items and tax for FY26 stood at ₹134.71 crore, compared with ₹17.36 crore in FY25. The company reported a loss after tax of ₹403.35 crore in FY26, compared with ₹1,554.10 crore in FY25. As of June 30, 2026, Tablespace's outstanding borrowings from banks and financial institutions on a consolidated basis stood at ₹970.63 crore. The company achieved an occupancy rate of 92.64 percent for mature facilities, the highest among benchmarked operators, according to the CBRE Report.
The Tablespace Hyderabad lease comes at a time of continued demand for office space in India's tier-I cities, with office absorption reaching a record quarterly level of around 24.6 million square feet in Q2 (April to June) 2026, according to a CBRE India report. Axis Capital, BofA Securities India, CLSA India, IIFL Capital Services and JM Financial have been appointed as the merchant bankers for the Tablespace Technologies IPO. According to The Economic Times, KFin Technologies is the registrar for the issue. The IPO proceeds will be utilised for repayment or pre-payment, in full or in part, of certain or all of its borrowings, funding inorganic growth through unidentified acquisitions, and general corporate purposes. Notably, the company will not receive any proceeds from the OFS component of the IPO, as the proceeds will accrue to the respective selling shareholders after deducting their proportion of offer-related expenses and applicable taxes.
