India's drone IPO pipeline is getting busy. Chennai-based Garuda Aerospace has raised around $10 million (about Rs 96 crore) in a pre-IPO funding round at a pre-money valuation of $320 million, according to the Economic Times, which cited people aware of the transaction. The company itself has not made a formal announcement.
The round was led by the Motherson family office and Dubai-based Aditum Investment Group, per the report. The raise comes as Garuda eyes a public listing in Q1 2027: it filed draft IPO papers via the confidential route in April 2026 and received SEBI's observations on August 5.
Founded in 2015 by Agnishwar Jayaprakash, Garuda manufactures 30 types of drones and counts more than 750 clients. The company previously raised a Rs 100 crore Series B in April 2026 led by Venture Catalysts. Cricketer MS Dhoni is a backer and the company's brand ambassador, giving it rare mainstream visibility for an industrial hardware firm.
The financials show a profitable, scaling business: FY25 revenue of Rs 122 crore with a net profit of Rs 18.4 crore. That combination — real revenue, real profit, and a clear IPO timeline — is increasingly what public-market investors demand from tech listings.
The pre-IPO round gives Garuda fresh capital to sharpen its balance sheet and broaden its investor base ahead of the listing. India's drone sector has strong policy tailwinds, from defence indigenisation to agricultural spraying subsidies, and Garuda is positioning itself as the listed pure-play on that theme.
With SEBI's observations already in hand, the countdown to the Q1 2027 window is now largely about market conditions and execution.
Why it matters for founders
Garuda's round — reported at a $320M valuation on Rs 122 crore of profitable revenue — shows public-market readiness starts years before the DRHP. If you're IPO-bound, the checklist is visible here: confidential filing early, profitable financials, marquee pre-IPO investors, and a brand story (yes, even a cricket legend helps) that retail investors can grasp.