Neolite ZKW Lightings Receives SEBI Approval for Rs 600 Crore IPO

Automotive lighting manufacturer Neolite ZKW Lightings Limited has received approval from the Securities and Exchange Board of India (SEBI) to launch its proposed Rs 600 crore initial public offering (IPO).

The IPO comprises a fresh issue of equity shares worth up to Rs 400 crore and an offer for sale (OFS) aggregating up to Rs 200 crore by existing shareholders.

Under the OFS component, promoter Rajesh Jain will divest shares worth Rs 114 crore, while Neokraft Global Private Limited will sell shares worth Rs 40 crore and ZKW Group GmbH will offload shares worth Rs 46 crore.

The company plans to utilise proceeds from the fresh issue towards expansion and debt reduction. Of the total proceeds, Rs 152.51 crore will be used for setting up a new greenfield manufacturing facility at Kancheepuram in Tamil Nadu. Another Rs 79.08 crore has been earmarked for purchase of plant and machinery and electronic expansion at existing manufacturing facilities, while Rs 65 crore will be used for repayment or prepayment of certain borrowings. The remaining funds will be allocated towards general corporate purposes.

Established in 1992, Neolite ZKW Lightings manufactures automotive lighting products and components for original equipment manufacturers (OEMs). The company operates across passenger vehicles, commercial vehicles, electric vehicles, two-wheelers, three-wheelers, off-road vehicles and aftermarket segments.

According to a CRISIL report cited in the company’s filing, Neolite ZKW Lightings held a 34.43% market share in India’s commercial vehicle lighting segment in Fiscal 2025.

The company is led by founder and promoter Rajesh Jain along with Chief Executive Officer Rajesh Soni.

Neolite ZKW Lightings has maintained a strategic alliance with ZKW Group GmbH since 2012. ZKW Group later became a subsidiary of LG Electronics in 2018. ZKW is known globally for premium automotive lighting technologies, including LED and laser headlamps supplied to automakers such as BMW and Audi.

As of October 31, 2025, Neolite ZKW Lightings served more than 40 OEM customers and offered over 830 stock keeping units (SKUs), including LED and EV-focused lighting solutions.

Its customer base includes Tata Motors Limited, Stellantis Automobiles India Private Limited, JSW MG Motor India Private Limited, Daimler India Commercial Vehicles Private Limited, VE Commercial Vehicles Limited, Isuzu Motors India Private Limited, Piaggio Vehicles Private Limited, JCB India Limited and Escorts Kubota Limited.