September 30, 2024

Zetwerk Manufacturing Businesses Pvt Ltd: Ratings withdrawn for PTCs issued under
securitisation transaction backed by trade receivables
Summary of rating action

Initial Rated Previous Rated Current Rated

Trust Name Instrument* Amount Amount Amount Rating Action
(Rs. crore) (Rs. crore) (Rs. crore)
Provisional
Series A1 PTC 37.50 NA 0.00 [ICRA]A+(SO);
Corporate
Withdrawn
Receivable
Provisional
Securitisation Trust
Series A2 PTC 7.50 NA 0.00 [ICRA]BBB+(SO);
Withdrawn
*Instrument details are provided in Annexure I

Rationale
ICRA has withdrawn the provisional ratings assigned to the pass-through certificates (PTCs) backed by a pool of trade
receivables originated by Zetwerk Manufacturing Businesses Pvt Ltd and its subsidiaries (viz. Sharp Tanks and Structurals Pvt
Ltd, Pinaka Aerospace Solutions Pvt Ltd and Zetfab India Pvt Ltd), collectively referred as to as the Originators. The ratings have
been withdrawn following the intimation from the Originators that the instruments were not issued.

The key rating drivers, liquidity position, and rating sensitivities have not been captured as the ratings assigned to the
instruments have been withdrawn. The detailed rating rationale of the previous rating exercise is available at the following
link: Corporate Receivable Securitisation Trust – Click here

Analytical approach
Analytical Approach Comments
Applicable rating methodologies ICRA's Policy on Withdrawal of Credit Ratings
Parent/Group support Not Applicable

Consolidation/standalone Not Applicable

About the originator

Zetwerk Manufacturing Businesses Pvt Ltd (Zetwerk) was founded in 2018 and is headquartered in Bengaluru (Karnataka). It
is an end-to-end manufacturing supply chain solutions provider. Zetwerk is a managed marketplace for contract
manufacturing, connecting industrial and consumers to small manufacturers via an online network. It facilitates supplier
selection, pricing, and order fulfilment. Zetwerk, which operates across industries like oil & gas, renewables, consumer
electronics, etc, endeavours to provide cost-effective production through its proprietary technologies that enable digital
supply selection, real-time tracking, visual progress updates, stakeholder communication and quality assurance. It offers
services like logistics and raw material procurement to its manufacturing partners for revenue growth and cost optimisation.

Selected subsidiaries of Zetwerk would also act as Originators for the transaction, viz. Sharp Tanks and Structurals Pvt Ltd
(100% subsidiary), Pinaka Aerospace Solutions Pvt Ltd (66% subsidiary), and Zetfab India Pvt Ltd (100% subsidiary).

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 Key financial indicators
Zetwerk (consolidated) FY2021 FY2022 FY2023
Operating income (OI) 836.9 4,964.5 11,449.0
Profit after tax (PAT)/Loss (41.1) (59.8) (106.8)
OPBITDA/OI (4.9%) (0.8%) 0.6%
PAT/OI (4.9%) (1.2%) (0.9%)
Total outstanding liabilities/Tangible net worth (times) 0.4 0.8 1.4
Total debt/OPBITA (times) (6.9) (60.7) 44.7
Interest coverage (times) (1.5) (0.3) 0.2
Source: Company, ICRA Research; All ratios are as per ICRA’s calculations
OPBITA – Operating profit before interest, tax, depreciation and amortisation
Amount in Rs. crore

Status of non-cooperation with previous CRA: Not applicable

Any other information: None

Rating history for past three years

Current Rating (FY2025) Chronology of Rating History for the Past 3 Years
Initial Current Date & Rating in
Sr. Amount Amount Date & Rating in Date & Rating in Date & Rating in
Trust Name FY2024
No. Instrument Rated Rated FY2025 FY2023 FY2022
(Rs. (Rs.
crore) crore) Sep 30, 2024 Nov 6, 2023 - -
Provisional
Series A1 Provisional
Corporate 37.50 0.00 [ICRA]A+(SO); - -
PTC [ICRA]A+(SO)
Receivable Withdrawn
1
Securitisation Provisional
Series A2 Provisional
Trust 7.50 0.00 [ICRA]BBB+(SO); - -
PTC [ICRA]BBB+(SO)
Withdrawn

Complexity level of the rated instrument

Trust Name Instrument Complexity Indicator

Corporate Receivable Series A1 PTC Moderately Complex
Securitisation Trust Series A2 PTC Moderately Complex

The Complexity Indicator refers to the ease with which the returns associated with the rated instrument could be estimated.
It does not indicate the risk related to the timely payments on the instrument, which is rather indicated by the instrument's
credit rating. It also does not indicate the complexity associated with analysing an entity's financial, business, industry risks or
complexity related to the structural, transactional or legal aspects. Details on the complexity levels of the instruments are
available on ICRA’s website: Click Here

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 Annexure I: Instrument details
Amount
Date of Issuance Coupon Rate Maturity
Trust Name Instrument Rated Current Rating
/ Sanction* (p.a.p.m.)* Date*
(Rs. crore)
Corporate Receivable Series A1 Not Provisional [ICRA]A+(SO);
Not applicable Not applicable 0.00
Securitisation Trust PTC applicable Withdrawn
Provisional
Series A2 Not
Not applicable Not applicable 0.00 [ICRA]BBB+(SO);
PTC applicable
Withdrawn
Source: Company; *As the instruments were not placed

Annexure II: List of entities considered for consolidated analysis

Not Applicable

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