Zetwerk Manufacturing Business opened at ₹143‑₹151 per share, a range that places the per‑share price just below the ₹151 upper band, which could drive a first‑day premium of roughly 8% if full subscription is achieved.
The issue blends a fresh equity of ₹2.830 cr with an Offer For Sale (OFS) of ₹2.182 cr, meaning the company will not receive any proceeds from the OFS tranche. A 99‑share lot size translates to a minimum retail investment of ₹14,949, with bids required in multiples of 99 shares thereafter.
In FY26, Zetwerk posted revenue of ₹15,913 cr, up from ₹11,332 cr in FY25, yet net loss widened to ₹991 cr from ₹210 cr. EBITDA margin contracted to 2.1% from 2.5% last year, reflecting high working‑capital intensity and supplier concentration risks noted in the prospectus.
The IPO follows a pattern seen in the manufacturing tech space, where firms like Bonfiglioli Transmission and Tonbo Imaging also opened, but their offerings are 100% OFS and will not raise capital. Zetwerk’s fresh equity component is the only source of new funds, aligning its valuation with a post‑issue market cap target of ₹25,582 cr, roughly 20% above the mid‑price band.
Analysts remain cautious; SBI Securities has issued a “Subscribe for long‑term” rating, citing scalable platform and potential debt repayment benefits. The market will gauge demand on Thursday’s closing, with the next milestone being the 5‑day closing price to determine if the 8% premium materialises. Investors should monitor the liquidity profile and potential dilution once the company finalises the fresh issue tranche.