Dev Accelerator shares hit 5% upper circuit after flat market debut

Dev Accelerator listing ceremony at BSE

The shares of Dev Accelerator made a muted stock market debut on September 17, listing exactly at the IPO price of Rs 61 per share on NSE. The shares then jumped around 5 percent to hit the upper circuit at Rs 64.05 apiece.

On BSE, the shares listed with 0.49 percent premium over the IPO price at Rs 61.30 apiece. The shares then jumped 5 percent to close at the upper circuit of Rs 64.36 apiece. Its market capitalisation at the end of the debut day stood at around Rs 580 crore.

Dev Accelerator listing price lower than grey market estimates:

The muted market debut comes despite the unlisted shares trading with 10 percent grey market premium (GMP) in the grey market, ahead of listing, according to data on Investorgain.

The Rs 143-crore issue saw strong investor interest during its three days of public bidding. The maiden public issue of the company was subscribed nearly 64 times its offer size between September 10 and September 12. The price band for the IPO was set at Rs 56-61 per share.

The coworking solutions player moved to the capital markets to raise Rs 143.35 crore through an entirely fresh issue of 2.47 crore equity shares at a price band of Rs 56-61 per share.

With presence in Delhi NCR, Hyderabad, Mumbai, Pune, Ahmedabad, Gandhinagar, Indore, Jaipur, Udaipur, Rajkot and Vadodaraas, Dev Accelerator has over 250 clients and 28 centers with 14,144 seats covering a total area under management of SBA 8.6 lakh square feet, competing with large listed peers like Awfis Space Solutions, Smartworks Coworking Spaces, and Indiqube Spaces.

Should you buy, sell or hold?

Shivani Nyati, Head of Wealth at Swastika Investmart advised caution. "Dev Accelerator Ltd. operates in the flexible workspace sector, providing co-working solutions across India. The company aims to capitalize on the growing demand for flexible office spaces, catering to startups, SMEs, and large enterprises seeking scalable office solutions. While the strong subscription and positive listing suggest investor confidence, the company's modest profit margins and high debt levels warrant caution. Risky investors can hold for medium to long term with sl of 50," she said.

Master Capital Services had said that investors can consider this IPO for a long term investment. "India's office market has witnessed significant growth over the past two and a half decades, establishing itself as a prominent player in the global commercial real estate industry. The top seven markets in India have experienced a tremendous surge in Grade A office stock, growing more than 14.5 times, from 59.5 mn sq. ft. to around 863.9 mn sq. ft. … Looking ahead, Grade A stock is projected to grow at a CAGR of ~6.7% between FY 2026 and December 2027 to reach 1,033 mn sq. ft," the brokerage said.

"Dev Accelerator Limited is in a good position to capture this growth by expanding into new and existing markets, enhancing its client offerings, and strengthening its asset procurement strategy. Investors can consider the IPO for long-term investment," it added.

Anand Rathi has also advised investors to subscribe to the issue for the long term. "Dev Accelerator Limited is one of the largest flex space operators in terms of operational flex stock in Tier 2 markets. Since their inception, they have established a presence in both Tier 1 and Tier 2 markets across India, including Delhi NCR, Hyderabad, Mumbai, Pune, Ahmedabad, Gandhinagar, Indore, Jaipur, Udaipur, Rajkot, and Vadodara as of May 31, 2025. Their comprehensive office space solutions cover sourcing, design customization, space development, technology integration, and complete asset management," the domestic brokerage explained.

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