Chennai-based drone-tech startup Garuda Aerospace Series B round attracts INR 100 crore (~USD 11.6 million). The funding round was led by Venture Catalists and some undisclosed investors. Notably, cricketing legend MS Dhoni also backed the company in early stage. Following the funding round, Garuda Aerospace valuation is expected ~INR 2,136.56 crore (USD 250 million).
Garuda Aerospace – Overview
Founded in 2015 by Agnishwar Jayaprakash, Garuda Aerospace has grown from a 5 member team to a 200 member team with India’s largest drone fleet of 400+ drones and 500 trained pilots across 84 cities. Garuda Aerospace Series B funding will be used to scale up production, boost indigenous R&D and expand globally.
Mr. Jayaprakash said the funding will be used to double the current manufacturing capacity and build a 35,000 sq. ft. facility to supplement the existing 24,000 sq. ft. plant for manufacturing drone components and subsystems. The company plans to reduce dependency on imported components from current 40-45% to 85% by mid-2025.
Strengthening India’s Defence and Industrial Ecosystem
A major portion of the funding will be used to fast track the setup of an R&D and testing centre for advanced defence drone systems. The company also plans to expand its intellectual property portfolio which already has 20+ patents and set up a new design facility to drive future innovation.
Garuda’s focus areas go beyond defence to agriculture, logistics, surveillance, security and industrial applications. The company is at the forefront of drone-as-a-service (DaaS) models, manufacturing and pilot training programs. It has already trained over 1,00,000 students in drone piloting.
Strong Market Presence and Partnerships
Garuda Aerospace’s client list is long and impressive with TATA, Reliance, Adani, Godrej, Flipkart, Swiggy, L&T, IOCL, NTPC and Survey of India. International partnerships with Lockheed Martin, Elbit Systems and Cognizant adds to its global credentials.
In FY24, the company saw its revenue grow 2.3x to INR 110 crore from INR 47 crore in FY23 and net profits to INR 16 crore from INR 6 crore. Garuda expects to sell over 8,000 drones in FY26 from 4,000 units in the last two years combined.
Garuda Aerospace IPO in the Pipeline
Garuda Aerospace is also getting ready for an IPO which may happen soon. The company has raised INR 160 crore in total funding so far, a sign of investor confidence and long term strategy.
Government Push and Market Outlook
The Indian government’s favourable regulatory environment, including Drone Rules 2021 and PLI scheme, is creating a conducive ground for drone startups. India’s drone market is expected to reach INR 1.28 lakh crore (~USD 15 billion) by 2030 as per NITI Aayog. With over 200 drone tech startups vying for a piece of this pie, Garuda Aerospace stands out for its profitability, IP leadership and multi-sector engagement.
What the Investors Say
Apoorva Ranjan Sharma, Co-founder and MD of Venture Catalysts, said, “This investment is in line with our philosophy of supporting homegrown champions. Garuda Aerospace is changing the technological landscape of India and is going to be a global leader in drone technology.”
Final Word
From agritech to aerospace, Garuda Aerospace is charting a bold course toward making India not only self-reliant in drone manufacturing but also a global hub for unmanned aerial innovations. Backed by celebrity investor MS Dhoni, steered by a visionary founder, and bolstered by strong financials, the company’s flight path is one to watch. For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.