IndiGo Ventures closes ₹450 crore fund and invests in Jeh Aerospace, a precision aerospace startup with $100M in global contracts.
IndiGo Ventures, the corporate venture capital arm of IndiGo (India’s largest budget airline), has announced that the first close of its inaugural fund has been fixed at ₹ 450 crore. The aim is to achieve a fund size of 600 crore rupees, and the fund will lean towards early-stage startups working on innovation in aviation, aerospace, and adjacent enterprises.
With investments starting in August 2024, IndiGo Ventures aims to stimulate the aviation industry in India. The first investment that it has announced is in Jeh Aerospace, a start-up that focuses on aerospace manufacturing and defense at a high precision level. The step underlines IndiGo’s approach to incorporating domestic innovation into medium-term development paths.
Jeh Aerospace Secures Strategic Investment for Global Expansion
IndiGo Ventures will invest an undisclosed sum in Jeh Aerospace. Vishal R. Sanghavi and Venkatesh Mudragalla co-founded the startup, which was developed on the experience earned through Tata Aerospace endeavors with Boeing, Lockheed Martin, and Sikorsky. With a composition of specialized technicians and engineers, Jeh Aerospace currently has a workforce of 100 members.
The company has already supplied more than 100,000 aero-engine parts and activities, as well as flight-critical and precision tools. It has secured long-term contracts worth $100 million to supply aerospace product manufacturers worldwide. The increased funds will expand its production to meet global demand and maintain regular delivery schedules.
Jeh Aerospace relies on sophistication, modern manufacturing procedures, and AI-enabled systems and platforms to provide high-precision aerospace parts. The collaboration with IndiGo Ventures should improve capabilities and shift the aviation industry to the use of next-generation technologies.
Strengthening Domestic Capabilities and International Partnerships
According to IndiGo CEO Pieter Elbers, the investment fits the airline’s broader strategy to reinforce India as a world air transport hub. He mentioned the possibility of the alliance boosting local production enhancing the Make in India objective, and consolidating Indo-U.S. aerospace ties.
The airline will leverage the opportunities offered by IndiGo Ventures to sponsor start-up companies that hold considerable technical strengths and align with the company’s long-term vision. Jeh Aerospace is the kind of company that IndiGo Ventures seeks to invest in, i.e., an operation that demonstrates successful execution, a rising demand trend and an innovation-based attitude. The investment represents a crucial step for IndiGo as it enters venture capitalism and enhances the private sector’s efforts to support the aerospace industry in India.
