Dev Accelerator IPO: Analysis, Allotment And GMP

Dev Accelerator IPO - Company Analysis

Dev Accelerator IPO, a Mainboard IPO, is a bookbuilding issue of Rs. 143.35 Cr (~2.35 crore Shares) by Dev Accelerator Ltd., also referred to as DevX, which was incorporated in 2017 and offers coworking spaces and other flexible office spaces. The business now operates 15 locations throughout India, including important cities like Hyderabad, Mumbai, Pune, and Delhi-NCR.

According to the JLL research, it ranks among the biggest flex space operators in Tier 2 markets in terms of operating flex stock.

The company's business strategy is centered on offering adaptable workspace options that are suited to the changing requirements of contemporary companies. This entails giving flexible lease options, allowing remote work trends, and supplying desks and apartments that may be customized.

Dev Accelerator Limited offers managed offices, coworking spaces, and other flexible office space options to SMEs, MNCs, and major corporations.  Neddle & Thread Designs LLP, the company's subsidiary, provides design and implementation services as well.

 

Services

 

Dev Accelerator IPO Details

The Dev IPO open date is from Sep 10 to Sep 12, with IPO allotment on Sep 15, refund initiation on Sep 16, 2025.

The Rs. 143.35 Cr mainline IPO comprises a wholly fresh issue of 2.35 crore shares.

The Dev Accelerator IPO listing date might be on Wednesday, 17 September 2025, and it will be listed at the BSE and NSE. The Dev Accelerator IPO price band is Rs. 56 to Rs. 61 for each Share. 

Events	Date
IPO Opening Date	Sep 10, 2025
IPO Closing Date	Sep 12, 2025
IPO Allotment Date	Sep 15, 2025
Refund Initiation	Sep 16, 2025
Tentative IPO Listing Date	Sep 17, 2025

 

Dev Accelerator IPO- Analysis & Hidden Facts

1. Parent Company Dependency (Dev IT Ltd.)’s Control

Dev Information Technology Ltd. is the promoter of the Dev Accelerator and will retain strategic control following the IPO. The parent company's backing and goodwill are crucial to the firm.

2. Insiders' Low-Cost Allotments

Promoters and associated parties purchased shares in 2023-2024 for Rs. 10 - Rs. 15 per share, although the IPO price range is Rs. 56 - Rs. 61. While IPO investors paid a significant premium, insiders entered at a very low cost.

3. Needle & Thread Designs LLP Subsidiary Risk

With a capital base of just Rs. 1,000, its associate Neddle & Thread Designs LLP (99% owned by Dev Accelerator) is involved in interior design but may experience impairment or losses.

4. Very high valuation in comparison to peers

Peer Awfis trades at roughly 60x, whereas the IPO is priced at a P/E of 225x (FY25 EPS).   Comparing the IPO to its competitors, it appears highly overvalued.

Industry Outlook

From March 2025 to December 2027, the Grade A office stock is expected to rise at a CAGR of about 6.7% to reach 1,033 million square feet.

If you want to apply for the IPO, click to open a Demat Account.

Company Financial 

(Amount in Cr)

Period	31 Mar 2025	31 Mar 2024	31 Mar 2023
Total Assets	540.38	411.09	282.42
Total Revenue	178.89	110.73	71.37
PAT	1.74	0.43	-12.83
EBITDA	80.46	64.74	29.88
Net Worth	54.79	28.79	1.22
Total Borrowing	130.67	101.05	33.20

 

 

Cash Flows

The cash flows for various activities are shown below:

(Amount in millions)

Net Cash Flow In Multiple Activities	31 Mar 2025	31 Mar 2024	31 Mar 2023
Net Cash Flow Operating Activities	937.51	75.62	264.81
Net Cash Flow Investing Activities	(380.08)	(408.59)	(240.60)
Net Cash Flow Financing Activities	(529.22)	332.97	(36.57)

 

Revenue Bifurcation 

Segment-wise Revenue Breakdown

 

City-wise Revenue Breakdown

 

Model-wise Revenue Breakdown

(Source RHP)

 

The Objective of the Issue

• The new centers' security deposits and fit-outs will require capital investment. ~ Rs. 73.12 Cr.

• Full or partial repayment and/or prepayment of certain loans that our company has taken out, with the redemption of NCDs. ~ Rs. 35 Cr.

• General corporate purposes.

Click to check the IPO application status.

Listed Peers of Dev Accelerator Ltd.

Company Name	Face Value (Rs. per Share)	EPS (Rs.)	P/E (x)
Awfis Space Solutions	10	9.75	60.95
Smartworks Coworking Spaces	10	(6.18)	(74.04)
Indiqube Spaces	1	(7.65)	(28.69)

 

Valuation

Metric	Value
ROCE	25.95%
Debt/Equity	2.39
PAT Margin	1.00%
EBITDA	50.64%
Price to Book Value	7.94
RoNW	3.24%

 

 

Evaluation of P/E Ratio

Considering the period of FY 2025, with an EPS of Rs. 0.27 from the last year, the resulting P/E ratio is 225.92x. When compared with the industry’s average P/E of 60.95x, it indicates an overvaluation (on a P/E ratio basis only). Hence, the price of the Share seems aggressively priced for the investors.

Explore the Karbonsteel Engineering IPO.

IPO's Strengths 

• Skilled Promoters & Management.

• A diversified portfolio lessens reliance on a particular industry by distributing investments across several sectors.

• Scalable Business Model.
  
  

IPO’s Weaknesses 

• High dependency on a few investments.

• Early-stage investment risk.

• Operations may be impacted by modifications to SEBI or the Business Act on investment businesses.

• Limited operating history.

 

Dev Accelerator IPO GMP 

Dev Accelerator IPO GMP today has not started yet as of 04 Sep 2025, while writing this information.

Dev Accelerator Limited IPO Summary

IPO Opening & Closing Date	Sep 10, 2025 to Sep 12, 2025
Face Value	Rs. 2 per Share
Issue Price	Rs. 56 to Rs. 61
Lot Size	235 Shares
Issue Size	2,35,00,000 Shares (Rs. 143.35 Cr)
Offer for Sale	-
Fresh Issue	2,35,00,000 Shares (Rs. 143.35 Cr)
Listing At	BSE, NSE
Issue Type	Book Built Issue IPO
Registrar	Kfin Technologies Ltd.

Dev Accelerator IPO Lot Size

The IPO allows retail investors to invest in a minimum and maximum of 1 Lot (235 Shares) amounting to Rs. 14335 and 13 Lots (3055 Shares) amounting to Rs. 186355, respectively, while for S-HNI investors, the minimum Lot is 14 (3290 Shares) amounting to Rs. 200690.

Minimum Lot Investment (Retail)	1 Lot
Maximum Lot Investment (Retail)	13 Lots
SHNI (Minimum)	14 Lots
SHNI (Maximum)	69 Lots
BHNI (Minimum)	70 Lots

Dev Accelerator IPO Reservation

Institutional Share Portion	75%
Retail Investors' Share Portion	10%
Non-Institutional Shares Portion	15%

 

Dev Accelerator IPO Allotment Status

To check the Dev Accelerator IPO allotment status, visit the official Registrar’s website or the BSE website. Below are the website links for you.

Using BSE Website - ​BSE IPO allotment status

 

Promoters And Management of Dev Accelerator Ltd.

• Parth Shah

• Umesh Uttamchandani

• Rushit Shah

• Dev Information Technology Limited.

Pre-Issue Promoter Shareholding	49.80%
Post-Issue Promoter Shareholding	36.80

 

Dev Accelerator IPO Lead Managers

• Pantomath Capital Advisors Pvt. Ltd.  

 

Dividend Policy

The company has not paid a dividend during the last three fiscal years.

Conclusion

Exposure to India's rapidly expanding coworking and flexible space market, which has robust promoters and scalable operations, is provided by the Dev Accelerator IPO. However, there are dangers associated with premium valuation, limited operating history, and high debt levels. Investors should balance concerns about overvaluation with growth possibilities.

 

Finowings IPO Analysis

Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO. 

You must consult your financial advisor before making any financial decisions. 

To Apply for the IPO, Click Here.

To Read the Prospectus of the Company Click Here to Download the DRHP.

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DISCLAIMER: This blog is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions.