Real estate consultant Anarock has acquired 75 per cent stake in myHQ, a booking platform for co-working spaces, in a cash and stock deal of around Rs 125 crore, as it seeks to tap the growing demand of flexible workspaces amid the COVID pandemic.
myHQ, which is headquartered in Delhi-NCR, currently has over 50,000 subscribed members across 700+ spaces in seven cities.
"We have acquired 75 per cent equity stake in myHQ in a cash and stock deal size of around Rs 125 crore. The amount also includes the fund infused by us for the growth of myHQ," Anarock Chairman Anuj Puri told PTI.
Post-acquisition, myHQ will retain its distinct brand and independence. Utkarsh Kawatra and Vinayak Agarawal, both IIT-Delhi graduates who founded myHQ in 2016, will remain on board as founding partners.
Puri said the company has done this acquisition as it sees huge business potential in the flexible workspace segment as the demand from corporates as well as individuals has grown amid the COVID pandemic.
"Coming on the heels of Anarock introducing US-based Upflex Inc, a hybrid booking platform with the largest global network of flexible workspaces, to India, myHQ acquisition will further strengthen our tech and product offerings and enhance our capabilities in this vertical," Puri said.
He said myHQ will spearhead Anarock's expansion into more than 20 cities.
Utkarsh Kawatra, CEO - myHQ, said "It is a well-timed move with the right company given our shared enthusiasm around massive opportunity in this space. We can now accelerate innovation, ramp-up the team and enhance user experience through a combination of myHQ's tech solutions, and Anarock group's business expertise and scale".
On myHQ offerings and revenue model, Anarock said that it can be broadly split into two buckets.
"myHQ pay-per-use FlexiPass allows individuals & teams to access 700+ flexible workspaces across the country through one pass with prices as low as Rs 200 a day. All spaces on the FlexiPass come with a standardised & controlled work experience and the user does not have to worry about fixed monthly rentals, security deposits & lock-ins," the consultant said.
On the other end is fixed desks, cabins and managed office platform that allows corporates to choose from 700+ workspaces for leasing their ideal central headquarter or satellite offices with highly flexible contracts.
myHQ also partners with cafes, coffee-shops, and lounges, and turns them into daytime coworking spaces to help them monetise their vacant inventory during the day.
Anarock has a team of over 1,800 real estate professionals who operate across all major Indian and Middle East markets.
Its services include residential broking, retail (in partnership with Vindico), commercial, investment banking, hospitality (via HVS ANAROCK), land services, industrial and logistics (in partnership with Binswanger), investment management, research, strategic advisory & valuations, project management services (in partnership with Mace) and society management services (acquisition of ApnaComplex).
Anarock posted a revenue of Rs 305 crore in the 2020-21 financial year and has set a target of over Rs 400 crore for the last fiscal.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU