India, Jan. 28 -- Deeptech startup D-Propulse Aerospace, which is building propulsion systems for defence and aerospace use, has raised INR 25 Cr (about $2.7 Mn) from IAN Alpha Fund.

The startup will use the fresh capital to hire engineers, expand computing and simulation capabilities, and set up limited testing infrastructure. It is also working on flight-ready versions of its propulsion systems and has begun early discussions with the Indian military.

IAN Alpha Fund said it invested in D-Propulse due to the high cost and complexity of propulsion systems in aerospace, which often limit scale. The fund believes simpler and more efficient propulsion technology could help India build high-speed defence platforms at lower costs.

Founded i...