Zetwerk shares made a modest debut on the stock market on Friday, October 23, listing at a 5% premium over the initial public offering (IPO) price before slipping below the issue price shortly after trading began. The stock opened at Rs 159 on both the BSE and NSE, compared with the upper end of its IPO price band of Rs 151 per share.

Key Highlights

• Zetwerk shares debuted at Rs 159, a 5% premium, before falling below the Rs 151 IPO issue price.

• The Rs 5,012 crore IPO was subscribed 3.10 times, with institutional investors placing the strongest demand.

But the early gains were soon muted. Zetwerk shares dipped 6.60% from the listing price, falling to Rs 148.50 at 10:10 am on BSE, where the stock was trading below its issue price. The trading activity in the first few days was somewhat subdued even though the company had done well in the public market.

Zetwerk IPO Raises Rs 5,012 Crore

The Rs 5,012.33 crore Zetwerk IPO saw a fresh issue of Rs 2,830 crore along with an offer-for-sale (OFS) of 14.45 crore shares from the existing shareholders. At the higher end of the price band, the OFS cost of Rs 2,182 crore was estimated.

The company had fixed the price band for the IPO at Rs 143 to Rs 151 per share with a face value of Rs 1 per share. The public issue began on 15 October 2026 and ended on 19 October 2026.

As per NSE data, the IPO garnered an overall subscription of 3.10 times with bids for 56.63 crore shares and 18.51 crore shares offered. The qualified institutional buyers' (QIB) portion was subscribed 4.73 times by the investors, while the non-institutional investor (NII) portion was subscribed 1.40 times by the investors. Retail investors took up 73% of the share allocation for the retail category.

Zetwerk Raises Rs 2,251 Crore from Anchor Investors

Zetwerk has raised Rs 2,251.23 crore from anchor investors by allotment of 14.91 crore equity shares at the top end of the price band of Rs 151.

The anchor book included prominent global financial institutions such as BlackRock, Goldman Sachs, Nomura, Capital Group and First Sentier Investors. Other investor groups that attended included sovereign wealth funds like Abu Dhabi Investment Authority (ADIA) and Norway's Government Pension Fund Global. Other investors included Capital World, Capital Research and 3P India, the fund of the former chief investment officer of HDFC Mutual Fund, Prashant Jain.

Also Read: Zetwerk Alumni Attract Investors With $130 Million Startup Funding

How Zetwerk Plans to Use IPO Proceeds

The proceeds of the fresh issue will be utilized to repay debt on the company and subsidiary levels, as well as for the company's general corporate purposes, including possible acquisitions. The offer-for-sale will give an exit for existing shareholders who want to sell shares.

Established in 2018, B2B gaint Zetwerk has 26 manufacturing locations in India, the USA, Germany and Spain, and collaborates with third party suppliers in various countries. Its customers include Siemens Gamesa, Acer India, CG Power, NTPC Renewable Energy, L&T MHI Power Boiler, DRDO, the Indian Air Force and Numaligarh Refinery.

The company has two main businesses: Manufacturing Business and Ecosystem Business (under the name Terra91). It had recently made a strategic decision to end its civil infrastructure business for FY26.

Investors in Zetwerk include Khosla Ventures, Baillie Gifford, Rakesh Gangwal, Accel, Peak XV and Lightspeed. As the stock trades on the market, it will draw investor scrutiny on both its ability to use the proceeds of the IPO to execute business plans and its debt load and expansion plans.

The book running lead managers for the issue were Kotak Mahindra Capital Company, Morgan Stanley India Company, Goldman Sachs (India) Securities, Avendus Capital, JM Financial, HSBC Securities & Capital Markets (India) and Pantomath Capital Advisors. KFin Technologies was the registrar.