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Zetwerk Exits Civil Infrastructure Business Ahead of IPO Following Safety Concerns
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Moneycontrol•13-10-2026, 12:22
Zetwerk Exits Civil Infrastructure Business Ahead of IPO Following Safety Concerns
- •IPO-bound Zetwerk decided to exit its Civil Infrastructure Works business due to poor customer quality and safety concerns.
- •CEO Amrit Acharya stated that the company took non-cash adjustments to account for the discontinued operations before going public.
- •The exit resulted in losses from discontinued operations of Rs 641 crore in FY26 and Rs 668.9 crore for the quarter ended June.
- •Zetwerk plans to sell the civil infrastructure operations within 12 months as it prepares for its initial public offering.
- •The company aims to raise Rs 5,012.3 crore through its IPO, which opens for public subscription on October 15.
Key Questions Answered
Zetwerk chose to exit its Civil Infrastructure Works business due to poor customer quality and safety concerns, which the company's CEO described as a mistake made during the building process.
Zetwerk intends to raise Rs 5,012.3 crore through an IPO consisting of a fresh issue and an offer for sale, seeking a valuation of up to Rs 25,583.2 crore. The public subscription opens on October 15, closes on October 19, and the shares are expected to debut on the stock exchanges on October 23, 2026.
The discontinued civil infrastructure operations resulted in losses of Rs 641 crore in FY26 and Rs 668.9 crore for the quarter ended June 2026, driven primarily by provisions for bad and doubtful debts and unbilled revenue.
