JJG Aero has secured a substantial investment of $12 million from CX Partners marking JJG Aero’s first round of external funding to fuel its ambitious expansion plans for rapid growth with an impressive annual increase target of 35%.
JJG Aero, a prominent aerospace components manufacturer based in Bengaluru, the aerospace hub of India, has recently secured a substantial investment of $12 million from CX Partners, a leading private equity firm. This funding marks JJG Aero’s first round of external funding and is expected to fuel its ambitious expansion plans. Alongside JJG Aero, another aerospace startup based in Hyderabad, Jeh Aerospace, has also received a significant boost with a $2.75 million funding round led by General Catalyst, a venture capital firm based in San Francisco.
The investment from CX Partners comes at a crucial time for JJG Aero as it aims for rapid growth with an impressive annual increase target of 35%. The company, founded in 2008, specializes in producing custom-machined components primarily for the commercial aerospace sector. However, it also caters to clients in the automotive and industrial segments. Its customer base includes renowned original equipment manufacturers (OEMs) and tier-1 vendors situated in the US and Europe.
Anuj Jhunjhunwala, the founder and CEO of JJG Aero, expressed enthusiasm about the funding and the company’s growth trajectory. He emphasized JJG Aero’s decade-long efforts in establishing top-tier capabilities, robust processes, compliance standards, strong customer relationships, and acquiring necessary approvals and certifications. These foundational elements have positioned the company to embark on a phase of rapid expansion and innovation.
The funding infusion will primarily be directed towards enhancing JJG Aero’s manufacturing capacity at its new facility, along with supporting various corporate initiatives aimed at further vertical integration. With a track record of consistent annual growth at 35% over the past three years, JJG Aero is poised to capitalize on the increasing demand within the aerospace industry’s supply chain.
In recent times, the aerospace sector has experienced a surge in demand from aircraft manufacturers, leading to challenges in the supply chain. Legacy vendors have struggled to meet this heightened demand, resulting in delays in the production of new planes. This dynamic has created opportunities for agile and innovative companies like JJG Aero to step in and address critical gaps in the market.
Currently, JJG Aero operates three manufacturing facilities located in the Bommasandra-Jigani area near Bengaluru, boasting a dedicated team of 700 skilled professionals. The company is now gearing up to establish an additional facility specifically tailored to the aerospace segment. This strategic move aligns with JJG Aero’s vision of expanding its footprint and bolstering its capabilities to meet the evolving needs of the aerospace industry.
The funding received by Jeh Aerospace, based in Hyderabad, is also significant as it underscores the growing interest and investment in the aerospace and defense manufacturing sector in India. General Catalyst’s support will enable Jeh Aerospace to further its innovative initiatives and contribute to the advancement of the country’s aerospace ecosystem.
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Overall, these developments highlight the momentum and potential within India’s aerospace industry, with companies like JJG Aero and Jeh Aerospace poised for accelerated growth and impactful contributions to the global aerospace landscape.
