IndiGo’s Gangwal invests $20 mn in manufacturing services startup Zetwerk

Rakesh Gangwal, co-founder of Indian carrier IndiGo, has invested $20 million in manufacturing services company Zetwerk, the company said.

“We are delighted to share that Rakesh Gangwal has invested $20 million in Zetwerk through Wheelhouse Venture Capital,” said the firm. “Mr Gangwal, with his extensive experience spanning several decades, brings invaluable insights into building businesses and iconic brands. His strategic guidance will be crucial in building Zetwerk into a generational company.”

Gangwal started his airline career with United Airlines in 1984. He then went on to run US Airways Group as its chief executive officer and chairman. He co-founded IndiGo along with his friend Rahul Bhatia in 2006 with one aircraft.

Valued at $2.8 billion, Zetwerk is a managed marketplace for contract manufacturing. Zetwerk partners with the world’s leading industrial and consumer enterprises to get their products manufactured via a global network of small manufacturers. Here, the firm helps with supplier selection, pricing and fulfilment of orders. The company has raised a total funding of $687 million from investors.

The firm offers manufacturing solutions across industries such as precision manufacturing, aerospace and defence, renewables, consumer electronics, oil and gas, and infrastructure. For customers, Zetwerk’s manufacturing network ensures products are made faster, at competitive prices and with world-class quality. For manufacturing partners, Zetwerk drives higher utilisation of manufacturing capacities. It offers various portfolio services (including logistics, raw material procurement, and working capital access) to drive revenue growth and optimise manufacturing costs.

Continuing its growth trajectory in the last fiscal year, Zetwerk’s GMV (gross merchandise volume) surged 2.3 times to Rs 11,448 crore, while its losses grew 81 per cent to Rs 109 crore in the same period (FY23), according to Entrackr. In B2B e-commerce, Zetwerk competes with Infra.Market, OfBusiness and Moglix.

First Published: Mar 07 2024 | 9:31 PM IST