Workmates Core2Cloud IPO Overview
Kolkata-based AWS Premier Tier Partner raising ₹69.84 cr (₹59.34 cr fresh + ₹10.50 cr OFS). Price: ₹200-204. Lot: 1,200 shares (₹2.44L min). Funds for debt repayment (₹8.60 cr), working capital (₹29.20 cr). Lead: Horizon. Competes with TCS, Infosys, Wipro, Accenture, Capgemini. Small scale, high competition, AWS dependency.
IPO DETAILED INFORMATION
Issue Details
| Parameter | Details |
| IPO Type | SME |
| IPO Open Date | 11 November 2025 (Tuesday) |
| IPO Close Date | 13 November 2025 (Thursday) |
| Anchor Investor Bidding | 10 November 2025 (Monday) |
| Allotment Date | 14 November 2025 (Friday) – Expected |
| Credit to Demat | 17 November 2025 |
| Refund Initiation | 17 November 2025 |
| Listing Date | 18 November 2025 (Tuesday) – Tentative |
| Price Band | ₹200 – ₹204 per share |
| Face Value | ₹10 per share |
| Lot Size | 600 shares |
| Min Investment (Retail) | ₹2,44,800 (2 lots / 1,200 shares at upper band) |
| HNI Investment | ₹3,67,200 (3 lots / 1,800 shares) minimum |
| Issue Size | ₹69.84 crore total |
| Fresh Issue | ₹59.34 crore (84.9%) – 29,08,800 shares |
| Offer for Sale (OFS) | ₹10.50 crore (15.1%) – 5,14,800 shares by promoters |
| Total Shares Offered | 34,23,600 equity shares |
| Listing | BSE SME (Emerge Platform) |
| Post-Issue Market Cap | ₹180-190 crore (at upper price band) |
Issue Break-up
| Category | Allocation |
| QIB (Qualified Institutional Buyers) | 50% of Net Offer |
| NII (Non-Institutional Investors) | 15% of Net Offer |
| Retail Individual Investors | 35% of Net Offer |
| Market Maker | As per SEBI regulations |
Selling Shareholders (OFS ₹10.50 crore)
Promoters Selling 5,14,800 shares:
- Debasish Sarkar
- Prajnashree Mohapatra
- Shilpa Mohta
- Anindya Sen
- Anirban Dasgupta
Note: OFS represents 15.1% of total issue. Majority (84.9%) is fresh capital for company.
Objects of the Issue (Fund Utilization)
Fresh Issue Proceeds (₹59.34 crore) will be used for:
- Prepayment/Repayment of Secured Loans – ₹8.60 crore (14.5%)
- Repay bank loans and financial institution borrowings
- Reduce interest burden and improve financial flexibility
- Working Capital Requirements – ₹29.20 crore (49.2%)
- Cloud infrastructure costs (AWS service consumption)
- Employee salaries and talent acquisition
- Marketing and business development expenses
- Operational expenses including office rent, utilities
- General Corporate Purposes – Balance amount (36.3%)
- Technology upgrades and certifications
- International expansion (Singapore subsidiary support)
- Unidentified inorganic growth opportunities
Strategic Focus:
- Strengthen balance sheet through debt reduction
- Scale operations and talent pool
- Support Singapore subsidiary expansion into ASEAN and global markets
- Invest in AWS competency development and new service offerings
- Enhance brand visibility and customer acquisition
OFS Proceeds (₹10.50 crore):
- Goes to promoters – partial exit/liquidity
Note: Fresh issue dominates (84.9%), indicating genuine growth capital infusion.
Lead Managers & Registrar
Book Running Lead Manager (BRLM):
- Horizon Management Private Limited
- Address: 19 R N Mukherjee Road, Main Building, 2nd Floor, Kolkata – 700 001, West Bengal, India
- Phone: +91 33 4600 0607
Registrar:
- MUFG Intime India Private Limited (Link Intime India Private Limited)
- Phone: +91-22-4918 6270
- Email: [email protected]
- Website: https://linkintime.co.in
Market Maker:
- To be confirmed
Promoters & Management
Key Promoters (7 individuals, no corporate promoter):
- Debasish Sarkar – Promoter (Partial OFS participant)
- Kamal Nath – CEO & Promoter
- Basanta Kumar Rana – Managing Director
- Prajnashree Mohapatra – Promoter (Partial OFS participant)
- Shilpa Mohta – Promoter (Partial OFS participant)
- Anindya Sen – Promoter (Partial OFS participant)
- Anjali Awasthi – Promoter
- Anirban Dasgupta – Promoter (Partial OFS participant)
Leadership Background:
- Founding team comprises ex-colleagues who bootstrapped expertise
- Leadership combines technology, cybersecurity, and cloud veterans
- CEO Kamal Nath and MD Basanta Kumar Rana lead operations
Company Contact:
- Registered Office: Flat 7, 3rd Floor, 3A, Rammohan Mullick Garden Lane, Kolkata – 700010, West Bengal, India
- Phone: +91 033 4508 4924 / +91 90380 99834
- Email: [email protected]
- Website: www.cloudworkmates.com
COMPANY OVERVIEW
Establishment & Background:
- Founded on November 14, 2018 (7 years of operations)
- Industry: Information Technology – Cloud Services & Digital Transformation
- Headquarters: Kolkata, West Bengal
- Founded by group of colleagues who bootstrapped their cloud expertise
- Achieved AWS Premier Tier Services Partner status within 6 years – milestone reflecting technical depth and customer-centric delivery
Business Model:
- End-to-end cloud and digital transformation partner specializing in Amazon Web Services (AWS)
- Comprehensive service offerings:
- Cloud Consulting & Strategy – Assessment, roadmap, architecture design
- Cloud Migration – Application and database migration to AWS
- Application Modernization – Re-platforming, refactoring legacy applications
- Managed Services – 24/7 monitoring, infrastructure management
- Cybersecurity – Layered security, compliance, threat detection
- AI-Driven Analytics – Data insights, machine learning, automation
- Revenue Model: Project-based consulting fees, managed services subscriptions, cloud consumption markups
- Value Proposition: Agility, security, measurable outcomes, customer-centric partnerships
Market Position:
- AWS Premier Tier Services Partner – Among limited group of Indian partners with this designation
- 7 AWS Competencies earned across various technical domains
- Positioned as growing player in India’s cloud services market
- 2022: Won AWS SMB Partner of the Year award
- Serves enterprises and SMBs modernizing IT infrastructure
Operations:
- India HQ: Kolkata operations serving pan-India customers
- International: Singapore subsidiary expanding into Australia, US, Bangladesh, UAE
- 300+ customers across industries:
- IT/ITES: 37.41%
- BFSI (Banking, Financial Services, Insurance): 30.40%
- Manufacturing: 8.74%
- E-Commerce: 6.02%
- Media: 4.58%
- Others: 9.39%
- 100+ AWS Certified Consultants (as per historical data – current count TBD)
- Certifications: ISO 9001:2015 (Quality Management), ISO/IEC 27001:2022 (Information Security Management)
- Culture: Every employee, partner, customer seen as “mate” – collaborative philosophy
- 350+ projects executed across 200+ satisfied customers (historical milestone)
Company Strengths
- Prestigious AWS Premier Tier Partnership Status:
- AWS Premier Tier Services Partner – highest tier in AWS Partner Network (APN)
- Among limited group of Indian partners holding this designation
- 7 AWS Competencies demonstrating technical expertise across domains
- 2022: AWS SMB Partner of the Year award
- Premier status provides brand credibility, AWS co-marketing support, lead generation
- Exceptional Revenue & Profit Growth Trajectory:
- Revenue CAGR: 102% from FY23 (₹28.95 cr) to FY25 (₹107.65 cr) – more than 3x in 2 years
- PAT CAGR: 160% from FY24 (₹5.35 cr) to FY25 (₹13.93 cr) – 2.6x growth
- 5-month FY26 (Aug 2025): ₹59.39 cr revenue, ₹7.22 cr PAT – annualized ₹142 cr revenue, ₹17.3 cr PAT (continued strong momentum)
- EBITDA FY25: ₹19.05 cr (17.7% margin)
- PAT margin FY25: 12.9% – healthy profitability for IT services
- Demonstrates scalability, operational leverage, and demand for cloud services
- Diversified Client Portfolio Across Industries:
- 300+ customers reducing dependency on single client
- Industry diversification: IT/ITES (37%), BFSI (30%), Manufacturing (9%), E-Commerce (6%), Media (5%), Others (9%)
- Serves both enterprises and SMBs
- Sector mix provides resilience against single-industry downturns
- International Expansion & Global Presence:
- Singapore subsidiary operational for international expansion
- Serving clients across Singapore, Australia, US, Bangladesh, UAE
- Geographic diversification reduces India dependency
- Access to higher billing rates in international markets
- Expanding addressable market beyond domestic constraints
- Comprehensive End-to-End Service Portfolio:
- Full-stack cloud capabilities: consulting, migration, modernization, managed services, cybersecurity, AI/analytics
- One-stop-shop approach increases customer stickiness and wallet share
- Cross-selling and upselling opportunities across service lines
- Differentiates from pure-play migration or single-service providers
- Quality & Security Certifications:
- ISO 9001:2015 for Quality Management System
- ISO/IEC 27001:2022 for Information Security Management
- Certifications enable participation in enterprise and government tenders
- Assures clients of quality standards and data security practices
- Strong Cash Position:
- Cash and bank balance: ₹10.88 crore as of August 31, 2025
- Healthy liquidity for expansion and operations
- IPO proceeds further strengthen financial position
- Experienced Founding Team & AWS Expertise:
- Founded by group of colleagues with deep AWS knowledge
- 100+ AWS Certified Consultants (historical count – demonstrates talent pool)
- Leadership combines technology, cybersecurity, cloud veterans
- Technical depth validated by AWS Premier Tier status and 7 competencies
- Industry Tailwinds – Cloud Adoption Boom:
- India’s cloud services market growing rapidly
- Government’s Digital India initiative driving cloud adoption
- Enterprises migrating legacy workloads to cloud (lift-and-shift, modernization)
- SMBs embracing cloud for cost efficiency and scalability
- AWS dominant global cloud provider (32% market share) – riding the leader
- Collaboration-Focused Culture:
- “Workmates” brand reflects partnership philosophy – every stakeholder as “mate”
- Customer-centric delivery approach
- Employee, partner, customer engagement driving retention and referrals
Key Risks & Challenges
- Complete Dependency on Single Cloud Provider – AWS:
- 100% business anchored on Amazon Web Services (AWS)
- No multi-cloud capabilities (Google Cloud, Microsoft Azure)
- AWS policy changes, pricing increases, or partner program modifications directly impact business
- Loss of AWS Premier Tier status would severely damage credibility and lead generation
- AWS competing directly with partners in managed services creates conflict
- Vendor lock-in limits flexibility and bargaining power
- Intense Competition from Global Giants & Indian IT Majors:
- Competes with large Indian IT services companies: TCS, Infosys, Wipro, Tech Mahindra, HCL Technologies
- Global consulting firms: Accenture, Capgemini, Cognizant, Deloitte
- Cloud-native competitors: Cloudwick, CloudThat, Infostretch (now Qualitest), Botmetric (acquired by Minfy)
- AWS Advanced/Premier Partners: Numerous competitors with similar certifications
- Price competition from smaller boutique cloud consultancies
- Low switching costs for clients – loyalty fragile
- Small Scale & Limited Operating History:
- Revenue of ₹107.65 crore (FY25) – very small compared to IT giants (TCS ₹2.4L+ crore revenue)
- Only 7 years of operations since 2018 – limited track record
- 300 customers modest compared to established players
- Market cap post-IPO ₹180-190 crore – micro-cap company
- Scalability and competitiveness against larger players untested
- SME listing on BSE – lower liquidity vs mainboard
- High Working Capital Intensity – 49% of IPO Proceeds:
- ₹29.20 crore (49.2% of fresh issue) allocated to working capital
- Indicates cash-intensive operations: AWS consumption costs, salaries, marketing
- Cloud services business requires upfront investments before revenue realization
- Client payment cycles extending receivables
- Continuous need for liquidity to fund operations
- Client Concentration Risk (Likely High):
- While 300+ clients, concentration among top clients likely significant (financial disclosures pending)
- IT services contracts often dominated by few large accounts
- Loss of major client materially impacts revenue
- No visibility on revenue split across top 10 customers
- Talent Acquisition & Retention Challenges:
- Cloud services labor-intensive – dependent on skilled AWS-certified professionals
- Competition for AWS talent intense from larger IT companies offering higher salaries
- Attrition risk in Kolkata vs Bangalore/Hyderabad tech hubs
- Training costs for certifications and skill upgrades
- Salary inflation pressuring margins
- Technology Disruption & Continuous Learning Requirement:
- AWS constantly evolving with new services, pricing models, architectures
- Need for continuous upskilling and recertification
- Competitors adopting AI/automation faster may gain edge
- Generative AI (AWS Bedrock, etc.) changing service delivery models
- Risk of skill obsolescence if unable to keep pace
- Project-Based Revenue Volatility:
- Significant portion of revenue from project consulting (migration, modernization)
- Project revenues lumpy and unpredictable quarter-to-quarter
- Managed services provide recurring revenue but lower margins
- Economic downturns reduce IT spending and delay cloud projects
- Geographic Revenue Concentration in India:
- Despite Singapore subsidiary, majority revenue likely from India
- India regulatory changes, economic slowdown disproportionately impact
- International expansion still nascent – execution risk
- Customer Industry Concentration:
- 67.81% revenue from IT/ITES (37.41%) and BFSI (30.40%)
- Downturn in these sectors materially affects business
- BFSI regulatory changes impacting cloud adoption
- IT/ITES sector slowdown (tech layoffs, reduced spending) hits demand
- Cybersecurity & Data Breach Risks:
- Managing sensitive client data and workloads
- Any security breach catastrophic for reputation and client trust
- ISO 27001 certification requires continuous compliance
- Liability exposure from client data incidents
- Outstanding Debt – ₹8.60 Crore Repayment:
- Outstanding secured loans from banks/financial institutions
- ₹8.60 crore (14.5% of IPO) for debt repayment
- Interest burden impacting profitability
- Debt servicing obligations create financial constraints
- Profitability Sustainability Concerns:
- PAT grew 160% YoY (FY24 to FY25) – exceptionally high
- PAT margin of 12.9% in FY25 – needs monitoring if sustainable
- Pre-IPO earnings inflation concerns typical in SME space
- IT services margins typically thin (5-15% PAT) – current levels at higher end
- SME Listing – Liquidity Constraints:
- BSE SME platform has lower trading volumes than mainboard
- Limited institutional investor interest
- Price discovery challenges and higher volatility
- Difficulty in exiting positions during market downturns
- Limited analyst coverage
Disclaimer: This information is based on publicly available sources including SEBI RHP/DRHP filings and company disclosures. Investors should conduct their own research and consult with financial advisors before making investment decisions. Past performance is not indicative of future results. The company operates in intensely competitive cloud services sector with 100% AWS dependency, small scale (₹107.65 cr revenue), and 7-year limited track record. SME investments carry higher risks than mainboard listings. Grey Market Premium is unofficial.
