Garuda Aerospace: Building India’s Next-Generation Drone Technology Business

​Garuda Aerospace is an Indian drone technology company that designs, manufactures and operates drones across agriculture, defence, surveillance, infrastructure and industrial applications. Founded in 2015, the company has expanded from agricultural drone solutions into higher-value defence and industrial applications. It is also moving towards the public markets, having received SEBI’s final observation for its proposed IPO on 5 August 2026, bringing the company closer to a potential listing.

Business Model

Garuda follows an integrated model covering drone manufacturing, Drone-as-a-Service (DaaS) and pilot training. It manufactures drones and also provides drone-based services to customers that do not want to own the equipment. Its applications range from agricultural spraying and mapping to defence surveillance, inspection and logistics.

Its portfolio has increasingly shifted beyond agriculture towards defence and industrial drones, including surveillance, swarm and cargo-delivery platforms.

Financial Performance

IPO: Issue Size and Use of Funds

Garuda Aerospace had confidentially filed for a proposed ₹1,000 crore IPO in April 2026. The issue structure reported at the time consisted of a ₹750 crore fresh issue and ₹250 crore OFS. Following SEBI approval in August 2026, reports indicate the fresh issue component could be up to ₹750 crore, with the final issue structure and price band to be announced later.

Object of the fresh issue:

• Research & Development for advanced drone technologies.
• Expansion of manufacturing capabilities and facilities.
• Development of new drone platforms and related technology.

Key Investors

• Venture Catalysts – Invested ₹100 crore in Series B funding in April 2025 at a reported $250 million valuation.
• Narotam Sekhsaria Family Office – Led a $1 million funding round in June 2025.
• We Founder Circle – Participated in the June 2025 funding round.
• MS Dhoni – Strategic investor and prominent backer of the company.

Recent Strategic Moves

Garuda has been accelerating its move into defence drones. In August 2025, it inaugurated a dedicated defence drone facility in Chennai and launched five new UAV platforms aimed at battlefield and disaster-response applications.

The company has also been increasing production capacity and R&D spending, with the June 2025 funding round intended to take annual production from around 8,000 drones to 12,000–15,000 units and expand its international presence.

Conclusion

Garuda Aerospace is transitioning from an agriculture-focused drone company into a broader defence and industrial drone technology player. Its profitability, growing manufacturing capabilities and upcoming IPO provide a platform for expansion, while the increasing focus on defence applications could become an important growth driver going forward.