Exclusive: Zetwerk raises $20 Mn from Wheelhouse Ventures

Business-to-business e-commerce unicorn Zetwerk has raised Rs 166 crore or $20 million from Wheelhouse Venture Capital in the ongoing Series F funding round. This is the maiden investment for Wheelhouse Venture in the Bengaluru-based firm.

The board at Zetwerk has passed a special resolution to allot 40,81,593 Series F2 CPPS at an issue price of Rs 407.39 each to raise Rs 166.28 crore or $20 million, its regulatory filing sourced from the Registrar of Companies shows.

Confirming the development to Entrackr, Zetwerk said that Rakesh Gangwal has put this strategic money in the company through Wheelhouse Venture Capital.  For the uninitiated, Gangwal is the co-founder of the airline company IndiGo.

As per startup data intelligence platform TheKredible, the firm has been valued at $2.8 billion in the new round, slightly higher than the $2.7 billion reported in its previous round of $120 million. Entrackr had exclusively reported the development in October 2023.

Following the fresh proceeds, Wheelhouse got a little less than 1% stake in Zetwerk while Greenoaks remained the largest stakeholder with 21.63% followed by Peak XV partners and Lighspped. Its co-founders Srinath Ramakkrushnan and Amrit Acharya cumulatively command 15.56% of the company.

Head to TheKredible for the complete cap table.

Zetwerk partners with offline suppliers engaged in the fabrication, machining, casting, forging, and galvanizing of machine parts. Operational in over 15 countries, it claims to serve over 100 customers across more than 25 industries in India, North America, MEA, et al.

Continuing its growth trajectory in the last fiscal year, Zetwerk’s GMV (gross revenue) surged 2.3X to Rs 11,448 crore while its losses grew 81% to Rs 109 crore in the same period (FY23).

In B2B e-commerce, Zetwerk competes with Infra.Market, OfBusiness and Moglix. OfBusiness emerged as the largest player in this space with Rs 15,342 crore revenue and Rs 463 crore profit while Infra.Market’s gross revenue surged 90% to Rs 11,846 crore with Rs 155 crore profit. Moglix reported Rs 4,595 crore in revenue and Rs 193 crore loss in the last fiscal year.