New Delhi, Feb. 2 -- Aerospace components manufacturer JJG Aero Pvt Ltd has raised $30 million (around Rs 274 crore) in Series B funding from private equity firm Norwest Venture Partners.
VCCircle had reported about JJG Aero's plans to raise a fresh institutional round last year in April, when it was in the early stages of discussions with both domestic and international investors.
It plans to use the capital primarily to build and add capacity at its upcoming facility in North Bengaluru, drive further vertical integration, and support other strategic initiatives, it said in a statement.
"The last five years have witnessed exponential growth for companies such as ours that possess the capabilities, processes, compliance standards, and customer relationships to meet global aerospace demand. The opportunity is immense," said Anuj Jhunjhunwala, CEO of JJG Aero.
"From having two small one-acre sites, we are now building a massive Unit 3 on a 10-acre site with further backward and forward integration, and space to expand into adjacencies at the opportune time."
Mid-market investment bank Veda Corporate Advisors acted as the sole transaction advisor on the deal.
The company, founded in 2008, is a manufacturer specialising in high-precision machined components with in-house special process finishing capabilities for the aircraft systems and engines segment. Bengaluru-based JJG Aero primarily focuses on the commercial aerospace segment, specialising in seating, cargo, landing, electric, and air management systems. Its clientele includes companies such as Boeing, Liebherr, Collins Aerospace, Safran, Woodward, and Parker.
The round comes less than two years after it secured $12 million in Series A led by mid market private equity investor CX Partners in April 2024.
"The aerospace supply chain is facing an all time high demand from aircraft manufacturers, which legacy vendors in the Western world are struggling to meet. With our strengths and value proposition, we see ourselves as a key player for precision-machined components in the aerospace ecosystem," said Jhunjhunwala.
"India has emerged as an attractive destination for sourcing components and parts by global leaders," he added.
The deal is Norwest's first investment in the sector.
Shiv Chaudhary, Managing Director at Norwest, said, "Indian businesses have a proven ability to provide high-quality products and services as an outsourcing partner to customers around the world. With strong industry tailwinds, we believe that aero-parts and component manufacturing is emerging as an important segment in India's manufacturing outsourcing story."
The broader aerospace sector has recently attracted significant investor interest. In March this year, Rangsons Aerospace, a provider of defence and aerospace manufacturing solutions, raised Rs 300 crore from private equity firm ValueQuest Advisors.
The same month, Zomato CEO Deepinder Goyal invested $20 million (Rs 172 crore) in LAT Aerospace, a stealth-mode startup co-founded with former Zomato COO Surobhi Das.
Last year, VCCircle also reported that Belagavi-based aerospace component maker Aequs Pvt Ltd plans to go public in 2025 and is in the process of appointing bankers to formalise its listing proposal.
Published by HT Digital Content Services with permission from VC Circle.