Smartworks Cuts Stake In Associate Company Cleanmax

Smartworks Coworking Spaces Ltd has reduced its stake in its associate company Cleanmax DOS Pvt Ltd from 24.82% to 9.08% for INR 99 Lakh.

Smartworks is selling its stake to Cleanmax associate company Clean Max Enviro Energy Solutions.

“As a result of this dilution, Cleanmax ceases to be classified as an associate of the company as per the provisions of SEBI Regulations, 2015,” Smartworks said in a regulatory filing.

The company agreed to sell its stake on August 21, and the transaction is expected to be completed in a week.

Founded in 2016 by Neetish Sarda and Harsh Binani, Smartworks is a coworking space provider for large enterprises. It leases large buildings from landlords, converts them into campuses, and then rents them out.

Smartworks currently operates 56 leased centres across 15 cities in India and 2 centres in Singapore, totalling 12.0 Mn sq ft leased super built-up area (SBA) and 2.32 Lakh seats. 

On the financial front, the company’s consolidated net loss narrowed 82% to INR 4.2 Cr in the first quarter of FY26 from INR 23 Cr in the same quarter a year ago. Smartworks’ operating revenue zoomed 21% to INR 379.2 Cr during the quarter under review from INR 313.4 Cr in Q1 FY25.

The company made its debut in the bourses on July 17, with its shares listing at 7.14% premium at INR 436.10 apiece against the issue price of INR 407 on the BSE. Additionally, the stock opened at INR 435 on the NSE, marking a 6.88% premium over the IPO price.

Shares of Smartworks were up marginally 0.37% at INR 476.95 apiece on the BSE morning trade, as of 10:30 AM.

The development comes amid a boom in the country’s coworking space sector, which continues to draw strong investor interest. 

Riding on this growing interest, companies such as Hillhouse-backed Table Space and Incuspaze are advancing towards their public market entries. The former dropped the word ‘private’ from its name in July, rebranding legally as “Tablespace Technologies Limited,” according to MCA filings.

Prior to that, Incuspaze acquired Pune-based smaller rival TRIOS in a cash-and-stock deal to boost its revenue growth and expand its presence in Pune.

As per Mordor Intelligence’s report, the coworking space market in India is expected to reach the $2.9 Bn mark in 2030 from around $2 Bn in 2025, growing at a CAGR of 7%.