Hical raises $30-40 mn from Premji Invest

BENGALURU: Aerospace and defence components maker Hical Technologies has raised $30-40 million from Premji Invest, the family investment office of Wipro founder Azim Premji, in its first institutional funding round since being founded in 1986.The Bengaluru-based company said the money will fund manufacturing expansion across South India and strengthen engineering and research and development. It is building a new facility in Hosur and recently opened another in Devanahalli.Exports account for more than 90% of Hical’s business, the company said. Its products include motors, actuators, solenoids and transformers used in aircraft, defence equipment and space applications.Hical supplies Dassault Aviation for the Rafale fighter jet programme. It also makes more than 1,000 types of parts used in Boeing and Airbus commercial aircraft and business jet applications, according to the company. Its components are also used in ISRO launch vehicles, satellite applications and ship and submarine equipment.“Our ambition is to build from India for the world, not simply by adding capacity, but by increasing the engineering and technology content of what we deliver,” said Yashas Jaiveer, managing director of Hical Technologies.The company plans to take on more complex systems involving greater design work. The expansion will include high-precision machinery and specialised aerospace manufacturing processes, with the Hosur facility adding precision machining capacity. Part of the investment will also go towards technical staff and quality systems.Premji Invest partner Manoj Jaiswal said global aerospace and defence supply chains were increasingly looking for engineering and manufacturing partners in India, creating an opportunity for Hical to expand.Hical has served the aerospace and defence sector for more than two decades. Deloitte Corporate Finance acted as its exclusive financial adviser on the transaction. The company did not disclose its valuation or the stake acquired by Premji Invest.You use AI every day. Now get your AI Quotient. Take the AIQ test.