OYO-backed coworking brand Innov8 has secured Rs 110 crore (approximately $13 million) in fresh funding from a group of high-profile family offices, including Mankind Pharma, Gauri Khan, Rupa Group, and Jagruti Dalmia. The investment round, managed by InCred, saw strong demand, with subscriptions exceeding the available stake by 2.7 times.
With this latest infusion of capital, Innov8’s valuation now stands at Rs 1,000 crore (around $120 million), after the company diluted 10% of its equity. The funds will be used to fuel expansion, acquire new properties, enhance technology, and explore strategic partnerships.
“This investment allows us to scale at a faster pace while reinforcing investor confidence in our vision and business model,” said Rakesh Kumar, Group CFO of OYO.
Originally founded by Ritesh Malik in 2015, Innov8 was acquired by OYO in 2019 but continues to operate as an independent entity. The company has set ambitious goals, aiming to double its coworking locations to 100 by 2025 and add 4 million square feet of managed office space across India in the next three years.
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Currently, Innov8 runs over 45 centers in key cities like Delhi, Mumbai, Bengaluru, Pune, Chennai, Hyderabad, and Ahmedabad, catering to more than 17,000 professionals from brands like Swiggy, IndusInd Bank, PhonePe, JioSaavn, and Tata Digital.
Riding the Wave of Flexible Workspaces
With hybrid work models becoming the norm, demand for coworking spaces has surged. Innov8 reports that its occupancy rates have exceeded 90% across its centers. To capitalize on this trend, the company recently opened two massive facilities in Mumbai—one in Navi Mumbai and another in Andheri—each spanning over 1 lakh square feet and housing up to 3,000 seats.
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Surging Profits
Innov8’s financials have seen remarkable growth. In FY24, its net profit skyrocketed to Rs 62 crore, a massive leap from Rs 2.5 crore in FY23, partly due to one-time exceptional gains. This strong performance reinforces its position as a leader in India’s booming coworking sector.
