Aerospace and defence electronics company CoreEL Technologies raises $30 million in funding

CoreEL Technologies, a Bengaluru-headquartered aerospace and defence electronics company, has raised $30 million in a Series B funding round led by ValueQuest Scale Fund with participation from existing investor 360 ONE Asset.

The round saw a majority inflow from ValueQuest Scale Fund, while 360 ONE Asset, which led CoreEL’s Series A round, increased its stake in the company.

Founded in 1999, CoreEL Technologies designs, manufactures and supplies advanced electronic systems and sub-systems for the Indian aerospace and defence sector. Its products are deployed across next-generation avionics, radars, missiles, electronic warfare systems, military communications (MILCOM) and sonars.

The company’s customers include the Ministry of Defence, defence public sector undertakings and the Defence Research and Development Organisation (DRDO).

The fresh capital will be used to scale manufacturing capacity, strengthen research and development and product engineering, and support participation in large and complex aerospace and defence programmes in India and overseas, the company said.

Commenting on the funding, Vishwanath Padur, managing director of CoreEL Technologies, said, “CoreEL has established itself as a world-class electronic systems and product development company, delivering complex, mission-critical solutions to our Armed Forces through DRDO and defence PSUs. We continue to develop some of the most advanced electronic systems for strategic aerospace and defence programs. This Series B funding reflects strong investor confidence in our long-term strategy, engineering depth and execution capability.”

Pushkar Jauhari, managing director and head of private equity at ValueQuest Scale Fund, said CoreEL’s positioning across aerospace and defence electronics and its focus on indigenous development aligned with the firm’s investment thesis.

“Our investment in CoreEL Technologies reflects our strong conviction in CoreEL's proven execution capability, engineering and leadership depth, and its ability to scale up and contribute meaningfully to indigenisation initiatives,” he said.

Umesh Agrawal, fund manager at 360 ONE Asset and nominee director on CoreEL’s board, said the company had built strong capabilities in electronic systems development for aerospace and defence, backed by a clear strategic vision and an experienced management team.

“We were the first institutional investor to back the team’s vision, and this investment reflects our conviction in the platform they are building. We are pleased to deepen our partnership with CoreEL as it scales its operations and enters the next phase of growth,” he said.

The funding follows CoreEL’s acquisition of the aerospace and defence systems division of Lekha Wireless, a move aimed at expanding its capabilities in wireless communication systems. The acquisition also added intellectual property and specialised engineering talent to CoreEL’s portfolio.