Bengaluru-based Zetwerk, a B2B marketplace for manufacturing services, on Wednesday announced that it had raised Rs 16 crore from venture debt provider InnoVen Capital.
Amrit Acharya, Co-founder and CEO, Zetwerk, said,
“We look forward to partnering with InnoVen Capital as we continue to scale our business, both domestically and internationally. We are focused on deepening our capabilities and widening our supplier base, as we build a world-class platform for manufacturing services.”
Started in 2018 by IIT alumni Amrit Acharya, Srinath Ramakkrushnan, Rahul Sharma, and Vishal Chaudhary, Zetwerk is an on-demand manufacturing platform for original equipment manufacturers (OEMs) and engineering procurement construction (EPM) companies. The company currently has 1,500 SMEs and 100 enterprises on its platform.
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On the demand side, Zetwerk works with mid-to-large OEM companies from India and Southeast Asia, who require procurement of custom products and machine parts that are not available off the shelf in the market. On the supply side, the firm works with manufacturing SMEs like Bharat Wires, RN fabricators, and GM Engineers across multiple categories (like fabrication, machining, casting, forging, etc) who can meet this demand.
In December 2019, Zetwerk secured Rs 225 crore ($32 million) in a Series B round led by Lightspeed and Greenoaks Capital. Existing investors Sequoia India, Accel, and Kae Capital also participated in the round. In addition to the equity raise, the company also cumulatively received an additional Rs 100 crore of debt from a consortium of banks, NBFCs, and venture debt funds. The round also saw participation from Vaibhav Gupta of Udaan and Maninder Gulati of Oyo.
Zetwerk had in March 2019 raised Rs 64 crore in a Series A round from Sequoia India, Accel, and Kae.
Ashish Sharma, CEO, InnoVen Capital India, added,
“We have been impressed with the progress Zetwerk has made in a relatively short period of time. This is a large addressable market, with tremendous potential to organise the space and provide more efficient solutions to OEMs and EPCs for custom engineering jobs.”
Started in 2008, InnoVen Capital offers multiple debt capital solutions, including venture debt, acquisition finance, growth loans, and syndication. To date, it has provided over 200 loans to more than 150+ startups across various stages, including Swiggy, Byjus, Oyo Rooms, CureFit, Myntra, DailyHunt, FirstCry, Blackbuck, Rivigo, and Yatra.
(Edited by Teja Lele Desai)