Defense technology company achieves largest private aerospace funding in Indian history
Published: July 14, 2025
India’s defense technology sector reached a new milestone as Raphe mPhibr, a prominent drone manufacturing startup, successfully closed a landmark $100 million Series B funding round. The investment, led by renowned venture capital firm General Catalyst, represents the largest private capital raise in India’s aerospace manufacturing industry to date.
Key Highlights of the Funding Round
The all-equity financing round brings Raphe mPhibr’s total funding to $145 million, positioning the company as a major player in India’s rapidly expanding defense technology ecosystem. The investment round attracted participation from Think Investments alongside several high-net-worth family offices, demonstrating strong investor confidence in the company’s growth trajectory.
About Raphe mPhibr: Pioneering Defense Drone Technology
Founded in 2017 by entrepreneurs Nitin Katiyar and Vivek Mishra, Raphe mPhibr has established itself as a leading manufacturer of carbon fiber composite products and unmanned aerial vehicles (UAVs). The company specializes in developing cutting-edge drone solutions specifically designed for defense applications, addressing India’s growing need for indigenous military technology.
The startup has demonstrated remarkable financial performance, with revenues experiencing threefold growth in FY25 while maintaining profitability. This impressive growth trajectory has positioned Raphe mPhibr as an attractive investment opportunity in the defense technology sector.
Strategic Implications for India’s Defense Sector
This significant funding round aligns with India’s broader strategic initiatives to strengthen domestic defense manufacturing capabilities. The investment will enable Raphe mPhibr to accelerate several key areas:
Research and Development Expansion: The funding will support advanced R&D initiatives, enabling the company to develop next-generation drone technologies and maintain its competitive edge in the global market.
Manufacturing Scale-Up: With increased capital, Raphe mPhibr can expand its production capacity to meet growing demand from defense customers both domestically and internationally.
Global Partnership Development: The investment will facilitate strategic partnerships with international defense contractors and technology companies, potentially opening new markets for Indian-made drone systems.
Market Context and Industry Growth
The drone technology sector in India has experienced unprecedented growth, driven by increasing defense spending and government initiatives promoting indigenous manufacturing. The country’s focus on reducing dependence on foreign defense equipment has created substantial opportunities for domestic companies like Raphe mPhibr.
Military UAV applications have become increasingly critical in modern warfare, with drones playing essential roles in surveillance, reconnaissance, and tactical operations. This trend has fueled investor interest in defense technology startups capable of delivering innovative solutions.
Future Outlook and Company Vision
With this substantial funding round, Raphe mPhibr is well-positioned to capitalize on the expanding market for military drones and defense technology solutions. The company’s deep engineering expertise and mission-driven approach to developing indigenous defense capabilities have been identified as key factors driving its rapid growth.
The investment from General Catalyst, a prominent venture capital firm with a strong track record in technology investments, provides validation of Raphe mPhibr’s business model and growth potential. This backing is expected to accelerate the company’s expansion plans and technology development initiatives.
Impact on India’s Defense Manufacturing Ecosystem
Raphe mPhibr’s successful funding round sends a positive signal to the broader Indian defense manufacturing sector. The achievement demonstrates that Indian startups can attract significant private investment for defense technology development, potentially encouraging more entrepreneurs to enter this critical sector.
The company’s success story also highlights the growing maturity of India’s startup ecosystem, particularly in high-technology sectors that require substantial capital investment and specialized expertise.
Conclusion
Raphe mPhibr’s record-breaking $100 million Series B funding round marks a significant milestone for India’s defense technology sector. The investment positions the company to play a crucial role in strengthening India’s indigenous defense capabilities while demonstrating the potential for Indian startups to achieve global scale in critical technology sectors.
As the company moves forward with its expansion plans, industry observers will be watching closely to see how this funding translates into technological innovations and market growth, potentially setting new benchmarks for India’s defense manufacturing industry.