Zetwerk Manufacturing Businesses Limited

Zetwerk Manufacturing Businesses Limited is a technology-driven B2B custom manufacturing platform incorporated in 2017. The company operates a managed marketplace model designed to digitize and streamline fragmented global manufacturing supply chains. Its core value proposition lies in aggregating unorganized and underutilized supplier capacity across small-to-midscale fabricators and specialized machine shops, converting it into scalable, high-quality, and standardized production for enterprise customers. By offering end-to-end manufacturing solutions—ranging from prototyping, tooling, and component design to mass manufacturing, quality control, and international logistics—Zetwerk acts as a single-point manufacturing partner for global Original Equipment Manufacturers (OEMs).

The company organizes its business operations across four primary industrial verticals: Precision Components, Industrial Growth Verticals (comprising Solar/Renewable Energy equipment, Power Transmission & Distribution, and Infrastructure/Tanks), Consumer Electronics & Appliances (operated via subsidiary Zet Town), and Aerospace & Defence. Zetwerk generates revenue primarily through long-term contract manufacturing agreements, component supply fulfillment, and value-added supply chain management. In Fiscal 2026, continuing revenue from operations reached ₹15,913.32 Cr, driven by rapid expansion across solar component supply, power equipment, and consumer electronics manufacturing.

Zetwerk’s target demographic encompasses enterprise OEMs, Tier-1 industrial suppliers, renewable energy project developers, and consumer technology brands. As of Fiscal 2026, the company serves over 2,000 active customers across 26 countries. Geographically, domestic operations in India contributed the majority of operational revenue, while international business across North America, Europe, the Middle East, and Southeast Asia continues to expand rapidly. Overseas growth is further supported by strategic international subsidiaries and acquisitions, such as Unimacts Global LLC in North America and Zetwerk Manufacturing SG Pte. Ltd. in Singapore.

The company operates a hybrid asset-light model combining an extensive partner supplier network of over 6,970 manufacturing partners with targeted in-house manufacturing infrastructure operated through specialized subsidiaries. Key in-house manufacturing facilities are located in Bengaluru (Karnataka), Hosur and Chennai (Tamil Nadu), Kheda and Vadodara (Gujarat), Palwal (Haryana), and Noida (Uttar Pradesh). For Fiscal 2026, certified capacity utilization across core in-house units was reported as follows: Smile Electronics (EMS PCB Assembly) achieved a 68.45% utilization rate; Kryfs Transformers & Core Processing reached 72.30% capacity utilization; Sharp Tanks structural fabrication operated at 64.12% utilization; and Zettown India consumer electronics assembly recorded a 58.75% utilization rate.

Operationally, Zetwerk is anchored by its proprietary software suite, "Zetwerk OS," which digitizes the entire manufacturing lifecycle including automated RFQ processing, supplier matching algorithms, real-time shop-floor production monitoring, AI-driven quality inspection, and global logistics coordination. The company supports its operational execution with a dedicated technology and engineering team of over 450 professionals engaged in process optimization, design for manufacturability (DFM), and advanced product engineering. Zetwerk also maintains specialized testing laboratories and design centers in Bengaluru and Pune, focusing on precision engineering, component miniaturization, and advanced material research.

Financially, Zetwerk Manufacturing Businesses Limited reported total income and net losses of ₹12,523.46 Cr and ₹(9,179.49) Cr (FY24), ₹11,492.23 Cr and ₹(370.71) Cr (FY25), ₹16,100.63 Cr and ₹(1,606.17) Cr (FY26), and ₹4,195.70 Cr and ₹(732.98) Cr (Q1 FY27). The company has demonstrated strong top-line scaling, with total income expanding at a 2-year CAGR of 18.57%. Total borrowings stood at ₹1,936.16 Cr in FY26, which will be substantially reduced as the company plans to allocate ₹2,160.00 Cr from the Fresh Issue proceeds toward debt repayment across the parent and key subsidiaries. The company maintains an average EPS of ₹(4.54) and an average RoNW of (15.64)% over the last three fiscals.

Based on the pre-issue book value, the issue is priced at a Pre-Issue P/BV of 5.84 (NAV of ₹25.85 as of June 30, 2026). Factoring in the fresh issue proceeds, the Post-Issue P/BV stands at 3.79. Because the company is currently loss-making, the Post-Issue P/E is Not Applicable (N/A) across all recent periods. According to the RHP, there are no listed companies in India or globally that operate under a similar business model, positioning Zetwerk as a unique, pure-play, tech-enabled manufacturing marketplace.

The issue is managed by Kotak Mahindra Capital Company Limited, Morgan Stanley India Company Private Limited, Goldman Sachs (India) Securities Private Limited, Avendus Capital Private Limited, JM Financial Limited, HSBC Securities and Capital Markets (India) Private Limited, and Pantomath Capital Advisors Private Limited. KFin Technologies Limited is acting as the Registrar to the Offer.

• 1 Amrit Pratik Acharya
• 2 Srinath Ramakkrushnan