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With the growing demand for co-working spaces, Singapore’s co-working space operator JustCo is looking to open 100 centres in Asia by 2020 and acquire companies which complement its operations, reported Reuters.
“We are tapping into companies’ need for flexibility,” said JustCo chief executive Kong Wan Sing.
JustCo, which opened its first co-working centre outside Singapore in Thailand this year, plans to open offices in Shanghai and Jakarta by the end of the year – in line with its goal to open 50 centres in Asia by 2019. Kong noted that each centre will have a minimum space of 3,000 sq m.
According to him, curating a big community of members through its large spaces will help the company beat out competitors.
Kong, who founded JustCo in 2015, also revealed plans to launch an application this year and an e-payment platform at a later date.
In May, JustCo entered into a US$177 million (S$237 million) partnership with sovereign wealth fund GIC and Frasers Property, which is owned by Thai billionaire Charoen Sirivadhanabhakdi.
JustCo will use part of the capital for expansion and to beef up its IT and design capabilities.
“We are looking for ideal acquisition targets … would be more applications, tech and design that can help us,” said Kong.
Aside from the capital, the partnership also provides JustCo “immediate access” to Frasers and GIC’s properties in Asia, helping it to expand quickly.
In 2017, Thai developer Sansiri acquired a 6.09 percent stake in JustCo for US$12 million (S$16 million) in Series B funding, valuing the co-working space operator at US$200 million (S$268 million).
Kong declined to comment on JustCo’s valuation following its agreement with Frasers Property and GIC.
“We will continue to do our rounds,” he said, while noting that an initial public offer may happen in three to five years.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email romesh@propertyguru.com.sg
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