Neolite ZKW Lightings Limited has secured approval from the Securities and Exchange Board of India (SEBI) for its proposed Rs 600 crore initial public offering (IPO).
The public issue will consist of a fresh issue of equity shares worth up to Rs 400 crore along with an offer for sale (OFS) of up to Rs 200 crore by existing shareholders.
Under the OFS portion, promoter Rajesh Jain plans to divest shares worth Rs 114 crore. Meanwhile, Neokraft Global Private Limited will sell shares worth Rs 40 crore, while ZKW Group GmbH will offload shares valued at Rs 46 crore.
Funds to Support Expansion and Debt Reduction
The company intends to utilise proceeds from the fresh issue to expand manufacturing capabilities and strengthen its financial position.
A major portion of the funds, amounting to Rs 152.51 crore, will be invested in establishing a new greenfield manufacturing facility in Kancheepuram. Additionally, Rs 79.08 crore has been allocated for plant machinery upgrades and electronics expansion at existing manufacturing units.
Neolite ZKW Lightings will also use Rs 65 crore towards repayment or prepayment of selected borrowings, while the remaining capital will be directed towards general corporate purposes.
Strong Presence in Automotive Lighting
Founded in 1992, Neolite ZKW Lightings Limited manufactures automotive lighting systems and components for original equipment manufacturers (OEMs).
The company caters to multiple vehicle segments including passenger vehicles, commercial vehicles, electric vehicles, two-wheelers, three-wheelers, off-road vehicles, and the aftermarket sector.
According to a CRISIL report referenced in the company’s filing, Neolite ZKW Lightings commanded a 34.43% share of India’s commercial vehicle lighting market in Fiscal 2025.
The company is led by founder and promoter Rajesh Jain along with Chief Executive Officer Rajesh Soni.
Strategic Alliance with ZKW Group
Neolite ZKW Lightings has maintained a strategic partnership with ZKW Group GmbH since 2012. The Austrian lighting specialist later became a subsidiary of LG Electronics in 2018.
ZKW Group is globally recognised for advanced automotive lighting technologies, including LED and laser headlamp systems supplied to premium automotive brands 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-based and EV-focused lighting products.
Its customer portfolio includes major automotive companies such as 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.
