Zetwerk inaugurates manufacturing facility in Tamil Nadu, mulls IPO

Indian contract manufacturer Zetwerk Electronics inaugurated its new facility in Tamil Nadu and said it was looking to go public in 15-24 months. Amrit Acharya, CEO & co-founder of Zetwerk, said preparatory work for an initial public offer was underway.  

The new electronics manufacturing facility, part of a ₹10 billion (USD 115 million) investment announced earlier, will produce electronic components for sectors like consumer durables and IT hardware. The company raised around USD 90 million at a valuation of USD 3.1 billion last year.

The 15-acre campus at Sriperumbudur, near Chennai, will play a key role in strengthening India’s position in the global Electronics System Design and Manufacturing (ESDM) sector, said Acharya.

The facility will manufacture control boards for washing machines, refrigerators, air conditioners, and IT hardware, with advanced production capabilities including five Surface-Mount Technology (SMT) lines, Manual Insertion (MI) lines, potting, conformal coating, and rigorous testing processes, according to media reports. At full capacity, it will employ 1,200 skilled workers.

The move comes amid a trade war between the US and China. Trump’s policies are expected to bolster production in India but with potential tariffs on India, Acharya said Zetwerk had fast-tracked its European entry by up to four years, signing up a few customers, Reuters reported.

Electronics currently account for 15% of the company’s revenue.

The Indian government has approved two electronics manufacturing clusters at Pillaipakkam and Manallur, in Tamil Nadu.  

“As Zetwerk launches its seventh factory, we reaffirm our commitment to supporting Indian companies in becoming global leaders,” Ashwini Vaishnaw, India’s minister for Electronics and Information Technology, said.