Awfis bags Rs 25 Cr tranche from Sequoia & Yes Bank family, valuation hits $100 Mn

In June last year, reports had come out that co-working space startup Awfis was raising a $20 million Series C round led by Sequoia Capital along with participation from The Three Sisters: Institutional Office run by Yes Bank Founder and MD, Rana Kapoor.

In August, Awfis had received the first tranche of this fund from Sequoia Capital and DOIT Urban Ventures (India) Pvt. Ltd. run under the name of Bindu Rana Kapoor and part of Do IT Talent chain founded by Radha Rana Kapoor, the eldest daughter.

The tranche was worth Rs 71.59 crore where Sequoia India had poured in Rs 48 crore via 29,87,112 Series C CCCPS worth Rs 160.69 each and DOIT had purchased 14,68,254 shares of the same class for Rs 23.59 crore.

Now, the firm seems to have received the second tranche of this round under Series C1 CCCPS class where shares are priced at Rs 162.7 each. Sequoia India has purchased 7,68,309 of these shares via a Rs 12.5 crore worth payment and DOIT has invested Rs 5.15 crore in 3,16,543 shares. Total, this tranche is worth Rs 25 crore.

RAB Enterprises (India) Pvt. Ltd. - which is co-owned by Alkesh Tandon, husband of Rakhee Rana Kapoor, another daughter of Rana Kapoor - was used to invest Rs 7.35 crore in exchange for 4,51,766 Series C1 CCCPS.

During February this year, Founder and CEO of Office had upped his stake to 28.4% in the company with a Rs 4.2 crore worth equity investment. Now, with the new tranche, the stake has subsided to 27.39%.

After this tranche, Yes Bank Family has the highest stake in the firm - 40.22% - calculating the stakes of DOIT and RAB altogether. Sequoia follows the family with a 31.73% stake.

However, more money is on its way for Awfis. As per a resolution passed a few weeks ago, 32,77,768 Series C1 CCCPS are to be issued in total, meaning Rs 53.33 crore. Out of this only Rs 25 crore has been received and Rs 28.33 crore is yet to come and the stakes are yet to change. This is also slated to complete the $20 million round.

The expectation that the post money valuation of the firm after Series C round would reach Rs 900 crore, will, however, stay above the reality. The RoC filings of the company with MCA illustrate that the valuation with the latest tranche has reached Rs 700.93 crore and by the end of the round will reach a maximum of Rs 729.26 crore.

Whichever the case, one thing that is clear is that the valuation will surely cross $100 million.