From Financialexpress · Anees Hussain · · 1m 20s
Zetwerk's India Manufacturing Conglomerate Strategy
Zetwerk's Amrit Pratik Acharya details India-focused manufacturing expansion and profitability path.
In brief
Zetwerk's Amrit Pratik Acharya details India-focused manufacturing expansion and profitability path. Zetwerk Manufacturing Businesses priced its Rs 5,012-crore IPO below pre-IPO at Rs 143-151 per share, targeting profitability through vertical integration and international expansion. Originally reported by…
Zetwerk IPO Pricing
Zetwerk Manufacturing Businesses priced its Rs 5,012-crore IPO at Rs 143-151 per share, below pre-IPO round of Rs 171.
Manufacturing Diversification Strategy
Zetwerk focuses on energy (70% of revenue), precision (15%), and capital goods, targeting sunrise industries and green hydrogen.
Civil Infrastructure Exit
Zetwerk exited civil infrastructure after years of poor customer quality and mismanagement, now focusing on core manufacturing.
Captive Manufacturing Shift
Zetwerk moved from asset-light model to captive manufacturing for time-sensitive customers needing lowest cost.
Terra91 Business Role
Terra91 provides raw materials at 40% of revenue with 1% Ebitda margin, acting as a volume play for partners.
Margin Improvements
Manufacturing gross margin rose from 13% in FY24 to 23% in June quarter, with adjusted Ebitda growing four times.
International Expansion
35% of revenue comes from international markets, with plants in India, Spain, Germany, and the US targeting re-industrialization.
Path to Profitability
Zetwerk reported Rs 1,606 crore net loss in FY26 but targets profitability through operating leverage and non-cash charge resolution.
The bottom line
Zetwerk Manufacturing Businesses priced its Rs 5,012-crore IPO below pre-IPO at Rs 143-151 per share, targeting profitability through vertical integration and international expansion.
