This year, startups in India have entered a growth spurt that was never seen before. Every couple weeks or so, a new startup enters the once coveted unicorn club, leading to growing interest from global investors and users alike. Today, taking the total number to 25, another startup has reached a $1Bn+ valuation-Zetwerk. The business to business marketplace for custom manufacturing has raised $150Mn in its Series E round, led by D1 Capitals.
Existing investors Green Oaks and Lightspeed also participated in the round, along with new investors Avenir, Sequoia Capital, Accel Partners. The firm also saw capital from the pockets of angel investors such as Kunal Shah and Ritesh Aggarwal.
With this funding, Zetwerk has managed to reach a valuation of $1.33Bn, up from $600-$700 million in February this year.
The platform allows businesses to set up their manufacturing facilities, by giving them direct access to small scale manufacturers and workshops, who then take the order and have the goods shipped directly. This eliminates the hassle of accruing goods for building up your own manufacturing plant, streamlining the entire process in a single go.
Moreover, it also digitizes this relatively untouched field, allowing users to keep a track of when their orders will arrive, much like other online shopping portals.
Thus, unlike most ecommerce companies like Amazon and Flipkart, Zetwerk deals in crane parts, doors, chassis of different machines and ladders, instead of clothes and mobile phones. The startup operates to serve customers in fabrication, machining, casting and forging businesses.
“Zetwerk is helping enterprises navigate the shift to digital manufacturing amidst rapidly changing global supply chains,” said Amrit Acharya, co founder of the company. “Over the last year, more than 100 western companies have moved their supply chains to India via Zetwerk, across industrial and consumer products.”
“In a short period of time, we believe Zetwerk has become a leader in delivering fast and cost-effective manufacturing solutions to companies globally and accelerating the pace of digital transformation of a very traditional industry,” said Jeremy Goldstein of D1 Capital Partners, in a statement.
The company had raised $21Mn in July last year. This rise to success in just one year signals an unprecedented surge in business for the startup, even in times when the manufacturing industry was taken to its knees thanks to the pandemic.
Zetwerk has become the 25th startup from India to enter the unicorn club in just one year. It follows the likes of Infra.Market, which entered the club in February after raising its valuation by a multiple of 5 in just two months.
