Manufacturing Firm Zetwerk Files for IPO, Aims to Raise ₹2,600 Cr

B2B manufacturing firm Zetwerk has filed updated draft papers with India's Securities and Exchange Board of India (SEBI) for its initial public offering (IPO). The company aims to raise ₹2,600 crore (approximately $310 million) through a public issuance of shares and an offer-for-sale (OFS) component.

A total of 18 investors and three individual shareholders are looking to divest their stakes as part of the OFS. Promoters Amrit Acharya and Srinath Ramakkrushnan plan to sell up to 14 million shares each, while promoter entity Creovate Innovations proposes to sell up to 23 million shares. Promoter entities collectively hold about 18% of Zetwerk. Notably, its largest backer Greenoaks, holding nearly 20%, is not offloading any shares.

Several other significant investors will be reducing their holdings. Peak XV Partners, which owns just over 12%, intends to sell 11 million shares. Accel will sell 7.2 million shares from its 7.7% stake, Lightspeed Ventures plans to offload 7.8 million shares from its 9.9% stake, and Kae Capital aims to sell 3.4 million shares from its 3.6% stake.

Of the capital raised from the fresh issue, Zetwerk intends to allocate ₹1,800 crore (around $215 million) towards debt repayment and prepayment. The remainder will be used for acquisitions and general corporate purposes. The company has previously raised over $900 million in private equity funding, with its latest round securing $52.2 million last month at a valuation exceeding $3 billion.

Founded in 2018, Zetwerk operates an end-to-end manufacturing platform serving industries including electronics, defense, industrial components, renewable energy equipment, and consumer hardware. The company reported operating revenue of ₹15,913.3 crore for FY26, a 40.4% increase, but its net loss surged more than fourfold to ₹1,606.2 crore. Excluding exceptional items, the restated loss was ₹41.1 crore.