Indian co-working firm BHive nears $44m pre-IPO fundraise
- ByStartupStory | December 16, 2025
Indian Co-Working Firm BHive Nears $44M Pre-IPO Fundraise
Bengaluru-based co-working and managed office space provider BHIVE Workspace is close to finalising a ₹400 crore ($44 million) pre-IPO fundraise, comprising significant debt and around ₹100 crore in equity, as it gears up for a public listing targeted for 2027.
Pre-IPO capital to fuel expansion
The funding will primarily retire existing debt, invest in senior leadership hires, and accelerate capacity addition across key markets. BHIVE, which holds about 5% market share in Bengaluru’s co-working space, has recently entered Mumbai and plans aggressive growth into Delhi-NCR, Chennai, Hyderabad, and Pune. The company aims to scale operational assets from current levels to nearly 3 million square feet by FY26, with managed office spaces comprising 70% of inventory.
Strong financial momentum
BHIVE reported profitability in FY23 with ₹12.2 crore profit on ₹186 crore revenue and ₹48.1 crore EBITDA. FY25 revenue guidance stands at ₹300 crore, with plans to double rental income to ₹700 crore by FY26 through 60,000 seats across 4.8 million sq ft. Unlike many peers, BHIVE consistently delivers positive EBITDA, positioning it favourably for IPO markets.
Targeting ₹2,000 Cr valuation at listing
The pre-IPO round supports de-leveraging ahead of a planned ₹800 crore IPO next fiscal, targeting a ₹2,000 crore market cap. Founder and CEO Shesh Rao Paplikar emphasised human capital investments for design, processes, and customer experience as key to scaling.
Riding India’s flexible workspace boom
India’s flexible office market has surged 75% post-pandemic to 53 million sq ft across top cities, accommodating 839,000 seats. Gross leasing hit record highs in 2025, driven by hybrid work and enterprise demand. BHIVE differentiates through value-for-money premium experiences, design-driven spaces, and Indian hospitality, serving a diverse clientele from startups to global firms.
The fundraise underscores investor confidence in BHIVE’s execution amid sector consolidation. With plans to reduce Bengaluru dependency from 95% to 50% over five years and explore owned office assets, the company is positioning for national leadership as India’s co-working market doubles to 106 million sq ft in coming years.
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