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Zetwerk

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Zetwerk
TypePrivate company (initial public offering pending)
IndustryManufacturing
Founded2018
Founder
  • Amrit Acharya
  • Srinath Ramakkrushnan
  • Vishal Chaudhary
  • Rahul Sharma
  • Ankit Fatehpuria
HeadquartersBengaluru, Karnataka, India
Revenue
  • Rs 15,900 crore, approx. US$1.9 billion (FY26, estimated)
approx. −₹371 crore, −US$44 million (FY25)
Subsidiaries
  • KRYFS Power Components
  • Pinaka Aerospace Solutions
  • Zet Town India
  • ZAP91 Solar India (joint venture with Pennar Industries)
  • Unimacts
  • Zetwerk Manufacturing USA
  • Smile Electronics (manufacturing partnership)
Websitezetwerk.com

Zetwerk is an Indian manufacturing company headquartered in Bengaluru, Karnataka. It operates a technology-based manufacturing platform in the areas of energy, precision manufacturing, and industrial and capital goods.[1] The company was started in 2018 by Amrit Acharya, Srinath Ramakkrushnan, Vishal Chaudhary, and Rahul Sharma, with Ankit Fatehpuria later joining as a co-founder and chief financial officer.[2][1]

Zetwerk connects businesses that need manufactured goods with a network of factories and suppliers that produce them. It generally does not own most of the factories in its network, though it has taken direct ownership of some manufacturing businesses through acquisitions and joint ventures, and it says it operates more than 20 of its own production facilities across India, the United States, Germany, and Spain.[2]

The company reached unicorn status in 2021 and was valued at just over $3 billion in a funding round in mid-2026.[1] India's Securities and Exchange Board (SEBI) approved Zetwerk's initial public offering on 10 July 2026.

History

[edit]

Founding and Early Years (2018-2019)

[edit]

Amrit Acharya started Zetwerk in May 2018 with three friends: Srinath Ramakkrushnan, Vishal Chaudhary, and Rahul Sharma.[3] The founders first built a software tool meant to help companies manage their supply chains, and raised a seed round of about $1.5 million within the first month. The team later changed course and turned Zetwerk into a marketplace that matched manufacturers with buyers instead.[1]

The company closed its first full financial year with revenue of about ₹21 crore. It raised a $9 million Series A round in March 2019 from Accel, Sequoia Capital India, and Kae Capital, followed by a Series B round led by Lightspeed Venture Partners later that year.[4][1][5]

Growth and Unicorn Status (2020-2022)

[edit]

Zetwerk's revenue grew over the next two years, reaching about ₹835 crore in FY21.[6] In August 2021, the company raised $150 million in a Series E round led by D1 Capital Partners at a valuation of $1.33 billion.[7] This made Zetwerk India's 26th unicorn of that year, three years after it was founded. Revenue rose further to about ₹4,961 crore in FY22.[6]

In late 2021 and early 2022, Zetwerk raised additional funding, reported as between $210 million[8] and $240 million, at a valuation of about $2.7 billion.[6] During 2022, the company acquired three Indian businesses for a combined value of about ₹100 crore: aerospace and defence parts maker Pinaka Aerospace Solutions, oil and gas equipment manufacturer Sharp Tanks, and Wheels India.[9] In November 2022, Zetwerk made its first acquisition outside India, buying Massachusetts-based Unimacts for $39 million in a cash-and-equity deal. Unimacts served the solar, wind-power, and industrial equipment sectors.[10]

Revenue from operations reached about ₹11,449 crore in FY23, though the company's losses grew 82 percent to ₹108.7 crore, up from ₹59.8 crore the year before.[11]

Expansion and Further Funding (2023-2025)

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Zetwerk raised $120 million in a Series F round in October 2023, led by Avenir Growth Capital, at a valuation of $2.7 billion.[6] Revenue from operations grew a further 26 percent to about ₹14,443 crore in FY24, while the net loss widened to roughly ₹918 crore.[12]

In December 2024, the company raised $70 million from Khosla Ventures, aviation entrepreneur Rakesh Gangwal, and asset manager Baillie Gifford, at a valuation of $3.1 billion.[13][14] In January 2025, Zetwerk agreed to take a 50.1 percent stake in ZAP91 Solar India, a new solar module manufacturing joint venture with Hyderabad-based Pennar Industries, incorporated the previous month to build a plant in Sadashivpet, Telangana.[15][16] In August 2024, Zetwerk had also entered a manufacturing partnership with electronics firm Smile Electronics to run IT hardware factories near Bengaluru, with plans for further plants in Tamil Nadu and Andhra Pradesh.[17]

Zetwerk's revenue fell by about 11 percent to ₹12,798 crore in FY25 as its trading volumes declined, though the company narrowed its net loss to ₹371 crore and reported a positive EBITDA of ₹145 crore for the year.[12]

In September 2024, Zetwerk secured an order from NTPC Renewable Energy to manufacture and supply about 1,515 megawatt-peak of solar photovoltaic modules for NTPC's 1.2 gigawatt Khavda solar project in Gujarat. The order was reported to be worth around ₹2,500 crore.[18][19]

In August 2025, weeks after its board approved raising ₹600 crore from Creovate Innovation, an entity set up by its own co-founders, Zetwerk acquired a controlling stake in KRYFS Power Components, a Mumbai-based transformer manufacturer with ten plants across India.[20][21] Separately, Zetwerk signed an agreement with the Government of Tamil Nadu for ZetSol, a planned integrated solar manufacturing plant covering cells, wafers, and ingots in Thoothukudi.[22]

Public Listing Plans (2025-2026)

[edit]

Reports of a planned stock market listing surfaced in early 2025.[23] In November 2025, the company appointed six banks, including Kotak Mahindra Capital, Goldman Sachs, Morgan Stanley, and HSBC, to manage a planned listing.[24][25] Zetwerk Manufacturing Businesses Limited confidentially filed its draft red herring prospectus with SEBI on 29 March 2026.[26]

SEBI issued its observation letter approving the IPO on 10 July 2026, clearing the company to move toward a public listing subject to market conditions.[27][28] Reports put the planned issue size at around ₹4,200 crore, split between fresh shares and an offer for sale by existing investors.[29]

In July 2026 Zetwerk co-founder Rahul Sharma, who had been Managing Director of Zetwerk's precision business (electronics), moved into a non-executive role to start a separate AI robotics venture that Zetwerk backed.[30]

Business model and operations

[edit]

Zetwerk connects companies that need manufactured parts with a network of its own and third-party factories that produce them.[31] The company built its software in-house after finding that standard enterprise resource planning systems could not coordinate production spread across thousands of small factories. In businesses where it sees recurring demand, particularly in the United States and in Indian energy manufacturing, the company has taken direct ownership of production units through acquisitions and joint ventures.[32][33]

Products and services

[edit]

Zetwerk provides manufacturing services across three broad areas. Energy manufacturing covers solar and wind equipment and transmission and grid infrastructure for AI. Precision manufacturing covers consumer electronics, and aerospace and defence components. Industrial and capital goods manufacturing covers AI infrastructure, steel, and structural fabrication.[34] Following its 2025 acquisition of KRYFS Power Components, the company also produces transformers and other power infrastructure equipment.[20]

In April 2022, it won an order worth ₹126 crore from Larsen & Toubro to supply parts for India's bullet train project.[35][36] In September 2024, it secured the NTPC Khavda solar module order described above.[18]

Acquisitions and joint ventures

[edit]
  • Pinaka Aerospace Solutions, Sharp Tanks, and a fabrication unit of Wheels India in Wardha, acquired in 2022 for a combined value of about ₹100 crore.[37][2]
  • Unimacts, a US manufacturer serving the solar, wind-power, and industrial equipment sectors, acquired in November 2022 for $39 million.[10]
  • ZAP91 Solar India, a solar module manufacturing joint venture with Pennar Industries in which Zetwerk holds a 50.1 percent stake, agreed in December 2024.[15]
  • Smile Electronics, an electronics manufacturing partner with which Zetwerk runs IT hardware factories in Karnataka, with more planned in Tamil Nadu and Andhra Pradesh.[38]
  • KRYFS Power Components, a Mumbai-based transformer manufacturer, in which Zetwerk acquired a controlling stake in August 2025.[39]

Funding and valuation

[edit]

Zetwerk has raised around than $931 million in equity and debt funding since 2018.[5] Investors have included Accel, Sequoia Capital India (now Peak XV Partners), Lightspeed Venture Partners, Greenoaks Capital, D1 Capital Partners, Avenir Growth Capital, Khosla Ventures, and Baillie Gifford, among others.[1][2]

In a pre-IPO funding round in July 2026, Zetwerk raised ₹500 crore from Bharat Value Fund at a valuation of just over $3 billion.[40]

Initial public offering

[edit]

Zetwerk Manufacturing Businesses Limited filed a confidential draft red herring prospectus with SEBI on 29 March 2026.[26] SEBI issued its observation letter on 10 July 2026, clearing the way for a public listing.[27][28] The offering is expected to include a fresh issue of shares alongside an offer for sale by existing investors, with the raise estimated at around ₹4,200 crore. Kotak Mahindra Capital, Goldman Sachs (India), Morgan Stanley India, HSBC Securities, JM Financial, Pantomath and Avendus are managing the offering.[24]

[edit]

In October 2025, Zetwerk and its US subsidiary sued Ayr Energy, a Texas-based maker of custom power transformers, along with Ayr's co-founder Anirudh Reddy, seeking $100 million in damages.[41] Zetwerk alleged that Reddy had set up Ayr Energy while still a senior Zetwerk executive and had used confidential company information to build a competing business before resigning from Zetwerk in January 2025. Ayr argued that the Texas court lacked authority to hear the case, then later accepted the court's jurisdiction. [42] Ayr separately filed its own claims in a California federal court, and Zetwerk moved to dismiss that case; shortly before a scheduled hearing on the motion, Ayr withdrew the California action.[43]

In July 2026, Ayr Energy filed counterclaims against Zetwerk, its US subsidiary, Unimacts Global, and KRYFS Power Components, and also filed a complaint with the US International Trade Commission. Ayr accused the companies of trade secret misappropriation, trademark infringement, and false advertising, and sought damages.[44] Zetwerk said the counterclaims came after Ayr's own California case failed to proceed, and said it would contest the new allegations in court.[45][46]

See also

[edit]

References

[edit]
  1. 1 2 3 4 5 6 Singh, Rajiv (2021-08-30). "Another Indian Startup Unicorn: How Zetwerk battled fear of the unknown to turn unicorn in three years". www.forbesindia.com. Retrieved 2026-08-01.{{cite web}}: CS1 maint: url-status (link)
  2. 1 2 3 4 "Zetwerk - Crunchbase Company Profile & Funding". Crunchbase. Retrieved 2026-08-01.
  3. ↑ "Inside Zetwerk's ambition of becoming a global manufacturer". www.forbesindia.com. Retrieved 2026-08-05.
  4. ↑ Singh, Manish (2019-12-10). "Zetwerk, an 18-month-old Indian B2B marketplace for manufacturing items, raises $32M". TechCrunch. Retrieved 2026-08-05.
  5. 1 2 "Zetwerk - Funding & Investors". Tracxn. July 30, 2026.{{cite web}}: CS1 maint: url-status (link)
  6. 1 2 3 4 Kashyap, Hemant (2023-10-18). "B2B Manufacturing Unicorn Zetwerk Raises $120 Mn From Avenir, Lightspeed". Inc42 Media. Retrieved 2026-08-01.
  7. ↑ Singh, Manish (2021-08-23). "India's Zetwerk valued at $1.33 billion in new funding". TechCrunch. Retrieved 2026-08-05.
  8. ↑ Patwardhan, Nikhil (2021-12-29). "Zetwerk raises $210 mn from Greenoaks Capital, others at $2.7 bn valuation | Company Business News". mint. Retrieved 2026-08-04.
  9. ↑ "Zetwerk strengthens industrials portfolio with three acquisitions". VCCircle. Retrieved 2026-08-01.
  10. 1 2 "Zetwerk acquires US-based Unimacts for $39 million, to clock a revenue of $1 billion in FY23". Moneycontrol. Archived from the original on 2025-01-03. Retrieved 2026-08-01.
  11. ↑ "Zetwerk Reports 82% Increase In Losses, Primarily Driven By ESOP: FY23 Results". BW Disrupt. Retrieved 2026-08-01.
  12. 1 2 Kamal, Priyanshu. "Zetwerk's GMV slips 11% in FY25; posts Rs 371 Cr loss". entrackr.com. Retrieved 2026-08-01.
  13. ↑ Sharma, Anu (2024-03-07). "IndiGo co-founder Rakesh Gangwal invests $20 million in Zetwerk | Company Business News". mint. Retrieved 2026-08-04.
  14. ↑ "How Much Did Zetwerk Raise? Funding & Key Investors | Clay". www.clay.com. Retrieved 2026-08-04.
  15. 1 2 www.ETManufacturing.in. "Pennar Industries and Zetwerk announces JV for solar module manufacturing". ETManufacturing.in. Retrieved 2026-08-01.
  16. ↑ India, Energética (2025-01-03). "Pennar Industries and Zetwerk Manufacturing Form Joint Venture for Solar Module Production - Asia Pacific | Energetica India Magazine". Energetica India Magazine, India Energy News, Renewable Energy News, Conventional Power Generation, Companies Guide... Retrieved 2026-08-01.
  17. ↑ "Zetwerk, Smile in deal to set up three IT hardware factories". The Economic Times. 2024-08-05. ISSN 0013-0389. Retrieved 2026-08-01.
  18. 1 2 "Zetwerk Manufacturing gets module supply order from NTPC". The Economic Times. 2024-09-26. ISSN 0013-0389. Retrieved 2026-08-04.
  19. ↑ Ellichipuram, Umesh (2024-10-21). "ZETWERK secures 1.5GW solar module order from NTPC Renewables". Energy Monitor. Retrieved 2026-08-04.
  20. 1 2 Bureau, BL Bengaluru (2025-08-12). "Zetwerk acquires controlling stake in transformer solutions company KRYFS". BusinessLine. Retrieved 2026-08-04. {{cite web}}: |last= has generic name (help)
  21. ↑ Manchanada, Kunal. "Exclusive: Zetwerk to acquire majority stake in Kryfs". entrackr.com. Retrieved 2026-08-04.
  22. ↑ "Bengaluru's Zetwerk likely to invest Rs 5,000 crore in solar cell plant in Tamil Nadu". Deccan Herald. Retrieved 2026-08-04.
  23. ↑ Paramasivam, Praveen (March 15, 2025). "India's Zetwerk mulls public listing within two years, co-founder says". Reuters. Retrieved 2026-08-04.{{cite news}}: CS1 maint: url-status (link)
  24. 1 2 Manvi Pant, Praveen Paramasivam (November 25, 2025). "India's Zetwerk hires banks for IPO filing next year, source says". Reuters. Retrieved 2026-08-04.{{cite news}}: CS1 maint: url-status (link)
  25. ↑ www.ETTelecom.com. "India's Zetwerk hires banks for IPO filing next year". ETTelecom.com. Retrieved 2026-08-04.
  26. 1 2 "Zetwerk IPO: Company files confidential papers for Rs 5,000 crore offering". The Economic Times. 2026-03-31. ISSN 0013-0389. Retrieved 2026-08-04.
  27. 1 2 "Zetwerk IPO and other three public issues receive SEBI approval- Moneycontrol.com". Moneycontrol. Archived from the original on 2026-07-11. Retrieved 2026-08-04.
  28. 1 2 "Zetwerk Receives Sebi Approval For Public Issue". BW Businessworld. Retrieved 2026-08-04.
  29. ↑ "Zetwerk receives SEBI approval for IPO- Moneycontrol.com". Moneycontrol. Archived from the original on 2026-07-11. Retrieved 2026-08-04.
  30. ↑ "Zetwerk backs AI robotics startup launched by co-founder Rahul Sharma, who moves to non-executive role- Moneycontrol.com". Moneycontrol. Archived from the original on 2026-07-11. Retrieved 2026-08-04.
  31. ↑ D'Monte, Leslie (2023-09-03). "How small factories are powering Zetwerk | Company Business News". mint. Retrieved 2026-08-04.
  32. ↑ "Zetwerk Acquires Three Firms For INR 100 Cr Deal; Strengthens Its Industrial Portfolio". BW Disrupt. Retrieved 2026-08-04.
  33. ↑ www.ETManufacturing.in. "Zetwerk doubles down on US; appoints industry veteran to lead Unimacts". ETManufacturing.in. Retrieved 2026-08-04.
  34. ↑ "Zetwerk - Maximize Manufacturing". www.zetwerk.com. Archived from the original on 2026-03-05. Retrieved 2026-08-04.
  35. ↑ Livemint (2022-04-21). "Bullet train project: Zetwerk bags order from L&T for fabricated girders | Company Business News". mint. Retrieved 2026-08-04.
  36. ↑ Dharma, RanjithKumar (2022-04-22). "Zetwerk wins contract for bullet train project in India". Railway Technology. Archived from the original on 2026-04-20. Retrieved 2026-08-04.
  37. ↑ Livemint (2022-06-30). "Zetwerk acquires 3 firms for ₹100 cr to strengthen industrial business | Company Business News". mint. Retrieved 2026-08-04.
  38. ↑ Service, Express News (2024-08-05). "Zetwerk, SMILE to launch three IT hardware factories in India". The New Indian Express. Retrieved 2026-08-04.
  39. ↑ Bureau, BL Bengaluru (2025-08-12). "Zetwerk acquires controlling stake in transformer solutions company KRYFS". BusinessLine. Retrieved 2026-08-04. {{cite web}}: |last= has generic name (help)
  40. ↑ www.ETManufacturing.in. "B2B firm Zetwerk eyes ₹500 crore pre-IPO round at $3 billion valuation". ETManufacturing.in. Retrieved 2026-08-04.
  41. ↑ "Zetwerk sues Ayr Energy over alleged misuse of confidential data; seeks $100 million in damages". The Economic Times. 2025-10-28. ISSN 0013-0389. Retrieved 2026-08-05.
  42. ↑ "Zetwerk India Manufacturing Businesses Private Limited v. Ayr Energy, Inc. | District of Delaware | United States District Court". www.ded.uscourts.gov. Retrieved 2026-08-05.
  43. ↑ "Ayr Energy Inc. et al v. Zetwerk Manufacturing USA Inc. et al". Justia Dockets & Filings. Retrieved 2026-08-05.
  44. ↑ "IPO-bound Zetwerk faces counterclaims in escalating US trade secret dispute". The Economic Times. 2026-07-22. ISSN 0013-0389. Retrieved 2026-08-05.
  45. ↑ "Zetwerk Says Ayr Energy's $1 Bn Complaint Is 'An Answer to a Case It Cannot Avoid'". Outlook Business. 2026-07-22. Retrieved 2026-08-05.
  46. ↑ Context, The Morning. "Suits and countersuits fly between IPO-bound Zetwerk and Ayr Energy". themorningcontext.com. Retrieved 2026-08-05.
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