Pune-based Sedemac Mechatronics, a powertrain controls and auto parts manufacturer, is preparing for an Initial Public Offering (IPO) to raise between Rs 800 crore and Rs 1,000 crore, according to sources familiar with the matter.
Sedemac's public listing plan comes nearly ten months after the company secured $100 million in funding from Xponentia Capital Partners, A91 Partners, and 360 ONE Asset, valuing it at $230 million.
“The company has been there for more than 17 years. A lot of its early investors have been looking forward to an IPO," a person familiar with the development said.
A second source said the company has already started meeting with potential investment bankers and institutional funds, with plans to list by the end of calendar year 2025.
"It will mostly be an offer for sale, as they don't need funds for their business," a second person said. The firm is learnt to have clocked revenue of Rs 650 crore and an EBITDA (earnings before interest, taxes, depreciation, and amortization) of Rs 120 crore in FY25.
Sedemac declined to offer comments.
“We decline to comment on any speculation including but not limited to whether we will list at all, timing of listing should it happen, bankers/issue size related to a potential listing, our numbers for FY25,” the firm’s spokesperson said in an email response.
Founded in 2007, Sedemac was incubated at the Indian Institute of Technology-Bombay (IIT-B) by Shashikanth Suryanarayanan, who is a professor at the institute with his students Pushkaraj Panse, Amit Dixit, and Manish Sharma. Surayanarayan is an Associate Professor in the mechanical engineering department.
The company’s name—an acronym for "Separating Decision Making from Actuation"—reflects its focus on mechatronics, a field that integrates electronics and mechanical engineering to improve system efficiency. It operates development and manufacturing facilities in Pune.
Professor Suryanarayanan completed his PhD from the University of California, Berkeley, and worked in the US for six years. He returned to India in 2004 and joined IIT Bombay.
The IPO comes at a time when India’s primary market is witnessing a resurgence, with multiple companies tapping into investor appetite for tech-driven industrial and manufacturing firms.
New-age companies like Ather Energy, ArisInfra, Avanse, Aye Finance, BoAt, Bluestone, Cardekho, Captain Fresh, DevX, Ecom Express and Fractal are likely to take the IPO route in 2025.
Infra.market, Innoviti, InCred, Indiqube, Ofbusiness, PhysicsWallah, PayU, Pine Labs, Ullu Digital, Shadowfax, Smartworks, Zappfresh, Zepto and Zetwerk are among others that are also likely to join the list.
If successful, Sedemac’s listing could further signal investor confidence in deep-tech manufacturing startups, particularly those emerging from India’s premier research institutions.
Also Read: Startup IPO party to continue in 2025: 25 firms expected to list on bourses
Sedemac makes critical components used to help generate power in automotive vehicles. The firm’s products are used in small engines, electric vehicles and e-bikes.
The firm employs more than 500 people and serves top OEMs in India, including Hero Motocorp, Mahindra and TVS. The firm has a development centre and two manufacturing plants in India.
In 2017, the firm raised around $7.5 million in funding from Infosys cofounder Nandan Nilekani as well as from existing investor Nexus Venture Partners and India Innovation Fund.
In 2018, Sedemac reportedly raised around $8 million from Iron Pillar.
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