Zetwerk has set a price band of ₹143-₹151 per share for its ₹5,012.3 Cr IPO, targeting a post-issue valuation of ₹25,583 Cr (about $2.7 Bn) at the upper end.
The startup plans to use ₹2,160 Cr, or about 76% of its fresh issue, to repay borrowings, making debt reduction the largest use of the capital raised.
The IPO will open for subscription on October 15 and close on October 19, with anchor investor bidding scheduled for October 14.
B2B manufacturing company Zetwerk
has set a price band of ₹143-₹151 per share for its IPO, which will be worth ₹5,012.3 Cr at the upper end of the band.
The issue comprises a fresh issue of ₹2,830 Cr and an OFS of up to 14.45 Cr shares, worth ₹2,182.3 Cr at the upper end, according to its RHP.
The IPO will open for subscription on October 15 and close on October 19. Anchor investor bidding will take place on October 14.
At the upper end of the price band, Zetwerk is seeking a post-issue market capitalisation of around ₹25,583 Cr (about $2.7 Bn).
The company has increased the fresh issue from ₹2,600 Cr outlined in its UDRHP. The OFS has also grown 49.2% from about 9.7 Cr shares.
Promoters and cofounders Amrit Pratik Acharya and Srinath Ramakkrushnan will each sell up to 1.42 Cr shares. Other selling shareholders include promoter group entity Creovate Innovation and funds associated with Peak XV Partners, Accel India, Lightspeed Venture Partners, and Kae Capital.
Zetwerk plans to use ₹2,160 Cr from the fresh issue to repay or prepay borrowings of the company and certain subsidiaries. The remaining net proceeds will fund acquisitions and general corporate purposes.
Zetwerk filed its draft IPO papers confidentially in March, followed by its UDRHP in August.
Founded in 2018, Zetwerk operates a manufacturing platform serving businesses across industrial and consumer goods categories.
It combines capacity from third-party suppliers and its own facilities to manage manufacturing orders across sectors including renewable energy, consumer electronics, aerospace, defence, oil and gas, and industrial automation.
Its customers include Siemens Gamesa, Acer India, boAt, NTPC Renewable Energy, CG Power and Industrial Solutions, and the Indian Air Force.
As of June 30, Zetwerk operated 26 manufacturing facilities across India, the US, Germany, and Spain.
It entered the unicorn club in 2021 after raising $150 Mn. It has raised over $900 Mn in funding to date from investors like Peak XV Partners, Lightspeed Venture Partners, Accel India, Greenoaks Capital Partners, and D1 Capital Partners.
In July, Inc42 reported that Zetwerk had raised ₹500 Cr from Bharat Value Fund ahead of its IPO. Its RHP confirmed that shares worth ₹500 Cr were allotted to Bharat Value Fund and Bharat Value Fund – Series III on April 2.
On the financial front, Zetwerk’s operating revenue increased 40.4% to ₹15,913.3 Cr in FY26 from ₹11,331.9 Cr in FY25. However, its net loss, including discontinued operations, widened to ₹1,606.2 Cr from ₹370.7 Cr.
The FY26 loss included a ₹796.4 Cr exceptional charge linked to changes in share conversion ratios and a ₹453 Cr impairment charge in its discontinued civil infrastructure business.
For Q1 FY27, operating revenue from continuing operations rose 55.4% to ₹4,117.9 Cr from ₹2,649.4 Cr in Q1 FY26. Its total net loss narrowed 46.4% to ₹733 Cr from ₹1,368.5 Cr in the year-ago period.
Of the latest quarterly loss, ₹668.9 Cr came from discontinued operations, while continuing operations accounted for ₹64.1 Cr. The year-ago quarter included ₹803.2 Cr in exceptional charges from continuing operations and the ₹453 Cr impairment charge in the discontinued business.
Separately, Zetwerk and US-based transformer startup Ayr Energy reached a settlement in September, agreeing to withdraw pending claims in US and Indian courts and jointly seek termination of a related US International Trade Commission investigation.
Zetwerk had accused Ayr Energy founder Anirudh Reddy, a former senior executive at the manufacturing platform, of misusing confidential information and trade secrets. Ayr Energy had filed counterclaims against Zetwerk, which disputed the allegations.
Zetwerk’s IPO follows public market debuts of new-age tech companies like RentoMojo, Moneyview, Shiprocket, LEAP India, and ESDS Software this year.
Source: Inc42
