Raghu Vamsi Aerospace Raises $40M to Expand Defense Tech

Raghu Vamsi Aerospace Group has raised $40 million to expand its aerospace manufacturing footprint and push deeper into defense technology. Norwest and Skegen Asset Management led the round. Indus Bridge Ventures, GJNX Ventures and investor Ashish Kacholia also participated.

The Hyderabad-based company, known in the industry as RVAG, plans to use the capital to increase production across sites in India, the United Kingdom and the United States. A new integrated manufacturing campus near Hyderabad International Airport is also in the works. The company's Mission Systems and Deep-Tech & Autonomous Systems divisions will get additional investment.

RVAG has been around for just over twenty years and now employs more than 1,200 people across ten sites in three countries. It makes precision aero-engine parts, sub-assemblies and specialized components for a roster of marquee aerospace customers: GE Aerospace, Pratt & Whitney, Honeywell, Safran and Collins Aerospace. The company also supplies engineered components to energy firms including Baker Hughes, Halliburton, SLB and GE.

Its manufacturing capabilities span product design, engineering, CNC machining, composites, sheet metal fabrication and electronics integration. RVAG reported an order backlog exceeding INR 2,500 crore, driven by sustained demand.

Managing Director Vamsi Vikas said the investment validates the company's vertically integrated manufacturing approach and strategy. He added the funding will expand international operations and accelerate advanced technology programs.

Beyond contract manufacturing, RVAG has moved into proprietary defense technologies through its Mission Systems and Deep-Tech business units. The company is developing micro turbojet engines, aircraft hydraulic pumps and missile subsystems for defense programs. Its ARROBOT platform focuses on jet-powered drones, internal combustion engine drones and unmanned ground vehicles for India's armed forces.

Chief Executive Officer Siva Arvinth said the funding would enable further investment in technology development, workforce expansion and talent development, building on principles established by founder G. Thrimurthulu. RVAG has also formed partnerships with Indian academic and research institutions including the IITs, IIITs, ARCI, ADA and DRDO.

Norwest Partner Shiv Chaudhary said RVAG has built an integrated manufacturing platform trusted by global aerospace and energy companies through technical expertise and disciplined execution. Skegen Asset Management highlighted the company's ability to combine advanced manufacturing with mission systems and deep-tech innovation, positioning it as an important player within India's expanding aerospace and defense ecosystem.