diff --git a/.gitignore b/.gitignore
index 89c126540..af0ea1bd0 100644
--- a/.gitignore
+++ b/.gitignore
@@ -115,7 +115,7 @@ k6_script_auth_gen.js
 summary.html
 
 # common labels template result files of make target module-version
-config/default/kustomization.yaml-e
+config/default/kustomization.yaml
 
 # ignore generated files for istiooperator tests
 internal/istiooperator/test/merged-istio-operator.yaml
diff --git a/Makefile b/Makefile
index 68bac0040..06f8dc30a 100644
--- a/Makefile
+++ b/Makefile
@@ -65,7 +65,7 @@ manifests: controller-gen ## Generate WebhookConfiguration, ClusterRole and Cust
 	$(CONTROLLER_GEN) rbac:roleName=manager-role crd webhook paths="./..." output:crd:artifacts:config=config/crd/bases
 
 .PHONY: generate-integration-test-manifest
-generate-integration-test-manifest: manifests kustomize
+generate-integration-test-manifest: manifests kustomize module-version
 	cd config/manager && $(KUSTOMIZE) edit set image controller=${IMG}
 	$(KUSTOMIZE) build config/default -o tests/integration/steps/operator_generated_manifest.yaml
 
@@ -244,8 +244,4 @@ gardener-aws-integration-test:
 
 .PHONY: module-version
 module-version:
-ifeq ($(OS_TYPE), Darwin)
-	sed -i'.bak' -e 's/VERSION/$(VERSION)/g' config/default/kustomization.yaml
-else
-	sed -i 's/VERSION/$(VERSION)/g' config/default/kustomization.yaml
-endif
\ No newline at end of file
+	sed 's/VERSION/$(VERSION)/g' config/default/kustomization.template.yaml > config/default/kustomization.yaml
\ No newline at end of file
diff --git a/config/default/kustomization.yaml b/config/default/kustomization.template.yaml
similarity index 100%
rename from config/default/kustomization.yaml
rename to config/default/kustomization.template.yaml
diff --git a/scripts/publish_assets.sh b/scripts/publish_assets.sh
index d0c19c95b..d72cccb33 100755
--- a/scripts/publish_assets.sh
+++ b/scripts/publish_assets.sh
@@ -16,7 +16,7 @@ GITHUB_AUTH_HEADER="Authorization: Bearer ${GITHUB_TOKEN}"
 IMG="europe-docker.pkg.dev/kyma-project/prod/istio-manager:${RELEASE_TAG}"
 VERSION="${RELEASE_TAG}"
 
-IMG="${IMG}" make generate-manifests
+IMG="${IMG}" VERSION="${VERSION}" make generate-manifests
 curl -f -L \
   -X POST \
   -H "Accept: application/vnd.github+json" \
@@ -26,7 +26,7 @@ curl -f -L \
   --data-binary @"istio-manager.yaml" \
   ${GITHUB_URL}/releases/${RELEASE_ID}/assets?name=istio-manager.yaml
 
-IMG="${IMG}-experimental" make generate-manifests
+IMG="${IMG}-experimental" VERSION="${VERSION}-experimental" make generate-manifests
 curl -f -L \
   -X POST \
   -H "Accept: application/vnd.github+json" \