Zetwerk IPO: Rs 2,600 Cr Fresh Issue Filed with SEBI

Zetwerk Manufacturing Business Ltd filed updated IPO documents with Sebi, aiming to raise Rs 2,600 crore through a fresh issue of shares. The offering also includes an offer for sale of up to 9.68 crore shares by promoters and existing shareholders.

The company previously submitted confidential preliminary IPO documents in March. This updated filing details the financial and operational scope of the tech-led manufacturing platform.

Key Financials & IPO Structure

• Fresh Issue Target: Rs 2,600 crore
• Offer for Sale: Up to 9.68 crore shares
• Debt Repayment Allocation: Rs 1,250 crore
• Subsidiary Borrowing Reduction: Rs 550 crore
• FY26 Revenue from Operations: Rs 15,913 crore (up 40.4% from Rs 11,332 crore in prior year)
• FY26 Adjusted EBITDA: Rs 421 crore (quadrupled from Rs 97 crore in FY24)
• International Markets Contribution (FY26): Nearly 30% of manufacturing revenue
• Manufacturing Order Book (FY26): Rs 12,370 crore (doubled from Rs 6,170 crore in FY24)

Funding Allocation & Strategic Moves

Zetwerk intends to use Rs 1,250 crore from the fresh issue specifically for debt repayment. Another Rs 550 crore is allocated to reduce borrowings across its subsidiaries.

Remaining capital is earmarked for unidentified acquisitions and general corporate purposes. The company also strategically discontinued its civil infrastructure business in FY26 as part of a realignment.

Investor Backing & Global Network

Backed by prominent investors including Khosla Ventures, Baillie Gifford, Rakesh Gangwal, Accel, Peak XV, and Lightspeed, Zetwerk operates a technology-enabled manufacturing network. This network connects industrial customers with 26 of its own manufacturing facilities.

These facilities are spread across India, the US, Germany, and Spain. The company also leverages a vast network of 6,979 third-party suppliers globally.

Operational Focus & Market Positioning

Founded in 2018 by Amrit Pratik Acharya, Srinath Ramakkrushnan, Vishal Chaudhary, Ankit Fatehpuria, and Rahul Sharma, Zetwerk spans diverse sectors. These include renewable energy, electronics, aerospace, defence, AI infrastructure, oil and gas, and industrial automation.

Its operations are divided into two segments: Manufacturing Business and Ecosystem Business, branded Terra91. Zetwerk is positioned to capitalize on supply-chain diversification, increasing infrastructure spending, and India’s growing manufacturing sector.

The IPO’s book-running lead managers include Kotak Mahindra Capital Company, Morgan Stanley India Company, Goldman Sachs India Securities, Avendus Capital, JM Financial, HSBC Securities, and Pantomath Capital Advisors.