Editorial Note
Welcome to the inaugural edition of A99’s Manufacturing Monthly, your insider lens into the fast evolving world of Manufacturing, DeepTech, and Industrial innovation.
India’s manufacturing sector is undergoing a fundamental transformation. From being perceived primarily as a base for low cost, labor intensive production to becoming a hub for high value and high tech manufacturing. Semiconductors to Space tech, Defence to EV components, we’re witnessing a deliberate shift in national manufacturing strategy, one that’s focused on building deep domestic capabilities, reducing import reliance, and localizing production in critical industries.
The i – Manu Script is our way of making sense of that transformation. With India at the center and the world in view, we’ll bring you sharp insights on deals, policy changes, global movements, acquisitions, and the innovations driving this change. This is also an attempt to capture the global China +1 strategy adopted by plethora of MNCs.
As investors committed to fueling India’s industrial rise, we’re not just observing the shift, we’re backing the builders behind it. The i-Manu Script is more than a digest; it’s a lens. A way of spotting the signals in the noise. A curious, clear eyed look at where things are headed and how fast.
Each of our scripts will bring you both a global and Indian perspective through:
A curated roundup of funding activity in core and adjacent manufacturing sectors
A Birds Eye view on Macro shifts and strategic signals from large industrial players
Reports and reads we’re learning from
New and exciting updates from the Artha99 portfolio
India Macros & Strategic Signals
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India’s manufacturing PMI hit 58.3 in May, reflecting robust growth indicating another month of strong economic performance.(Link)
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Apple’s top supplier, Foxconn, announced a $1.48B investment in Tamil Nadu to expand local iPhone assembly. Once operational, it will become one of the largest investments in India’s electronics sector to date.(Link)
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JSW Group is backing JSW One Platforms with ₹340 Cr to digitize B2B construction material commerce. With this capital infusion, the company’s valuation has now reached $1 billion, placing it among India’s unicorn startups.(Link)
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Bharti Airtel founder Sunil Mittal is in talks to acquire a 49% stake in Haier Indian unit of China’s Haier Smart Home Co. for ~$2B. Haier ranks third in India after LG and Samsung in the household appliance market.(Link)
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US private equity firm TPG has entered into a binding agreement to acquire a 35% stake in the SCHOTT Poonawalla joint venture from Serum Institute of India (SII)(Link)
India Deal Roundup: Startups in Motion
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Space tech startup PierSight (India) has secured additional capital through a seed extension round, bringing its total funding to $8 million. The company is developing a constellation of Synthetic Aperture Radar (SAR) and Automatic Identification System (AIS) satellites to deliver continuous, all-weather maritime surveillance intelligence for sectors like shipping, defense, insurance, and environmental protection (Link)
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Posha (India) raised $8M seed round led by Accel to expand its vertically integrated modular kitchen and furniture platform. The company offers a fully automated cooking experience through its AI-enabled kitchen robot which takes over the entire cooking process, leveraging camera and thermal sensors for adapting recipes based on individual preferences(Link)
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TIEA Connectors (Bengaluru) raised ₹22 Cr to scale high-reliability connectors for industrial and automotive use. TIEA designs and manufactures advanced electronic and electrical connectors for sectors like EVs, aerospace, defense, and consumer electronics.(Link)
Global Deal Roundup: Manufacturing, DeepTech & Industrial Innovation
Nuclear / Fusion
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Realta Fusion (USA) has raised $36 million in a Series A funding round led by Khosla Ventures, Mayfield, and TitletownTech. The company is pioneering a right sized fusion system design that is both compact and scalable, aiming to deliver efficient and reliable fusion energy solutions to decarbonize industrial heat and power sectors. (Link)
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Zeno Power (USA) closed a $50 million Series B round backed by Hanaco Ventures and NASA. The company focuses on creating affordable radioisotope batteries that convert recycled nuclear waste into clean, reliable electricity for critical applications ranging from deep sea exploration to space missions, where traditional power sources fall short. (Link)
Semiconductors & AI Chips
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SiCarrier (China) is targeting a $2.8 billion Series A to expand its chipmaking equipment business amid US China tech tensions. Building lithography equipment that can produce 28nm chips or less advanced chips, the company seems to be State backed and closely linked to Huawei. (Link)
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Cognichip (USA) raised $33 million to accelerate semiconductor design using AI. The company is developing the world’s first Artificial Chip Intelligence (ACI®) platform—an AI-powered, physics informed system that streamlines and optimizes chip design.(Link)
Defense & Aerospace
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Quantum Systems (Germany) closed €160M Series C for AI-powered drones. Investors include Airbus Ventures and Porsche SE. It is an aerial data intelligence company that develops advanced drones (UAVs) with multi-sensor capabilities for government and commercial clients. Their electric vertical take-off and landing (eVTOL) systems are used for defense, security, humanitarian, and geospatial operations, providing mission-critical data and real-time analytics (Link)
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Reflect Orbital (USA) raised $20M for solar reflectors in orbit, potential applications in agriculture and disaster relief. They are developing a constellation of space-based mirrors to reflect sunlight onto Earth after sunset, enabling solar farms and other users to access sunlight at night.(Link)
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Doroni secures $30M Investment Secured From Kingdom Aero Industries in Series B. The company is is revolutionizing personal air mobility with the Doroni H1-X, a groundbreaking electric vertical takeoff and landing (eVTOL) “flying car” designed for safe, sustainable, and efficient urban transportation. (Link)
Advanced Materials
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Solena Materials (UK) raised $6.7M seed for biodegradable protein fibers designed with AI for technical textiles. It has developed sustainable, biodegradable protein-based fibres using AI-driven design, offering eco-friendly alternatives to synthetic textiles.(Link)
AI Infrastructure
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TensorWave (USA) raised $100M Series A to deploy the world’s largest AMD based liquid-cooled GPU cloud for AI model training. The company provides high-performance cloud infrastructure optimized for AI and HPC workloads using AMD GPUs.(Link)
What We’re Reading & Listening To
India’s Manufacturing Sector Gaining Appeal – S&P Global: Highlights a surge in global investor interest in Indian manufacturing, especially in capital goods, electronics, and green tech. Link to the article
The Lessons from China’s Dominance in Manufacturing: An analysis of China’s “Made in China 2025” policy, examining how it has transformed the country’s manufacturing sector, especially in robotics and electric vehicles, and the implications for global competitors. Link to the article
The Daily Brief by Zerodha- India’s CDMO surge: The business behind the Drugs
The article highlights the rapid growth of India’s CDMO sector and its emergence as a key player in global pharmaceutical manufacturing. Link to the article
Podcast – How Anduril Is Reimagining the Defense Industry: Trae Stephens discusses building dual use defense platforms, edge autonomy, and working with governments. Link to the podcast
Podcast- WTF is with Nikhil Kamath: Consumer Electronics in India: Explores India’s consumer electronics evolution, including supply chains and D2C brand strategies. Link to the podcast
The Daily Brief by Zerodha- India’s Infra projects were Broken—Until Now
The article examines how a small change in infrastructure project bidding norms reveals the crucial and complex role of the Engineering, Procurement, and Construction (EPC) sector in building modern India.(Link to the article)
What The Hell is Happening By Zerodha- We’re learning the wrong lessons from history- Reflects on the lessons we learn from history, particularly in relation to current events like the US-China trade war, highlighting potential pitfalls of misinterpreting the past and the complex repercussions of trade policies on various sectors. (Link to the article)
Portfolio Spotlight
Innocule
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Our specialty chemicals portfolio company continues to scale within the core industrial value chain. Innocule is already working with India’s top steel conglomerates and is now entering the coal segment, expanding its customer base through NMDC (National Mineral Development Corporation).
Raptee
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The high voltage electric motorcycle OEM made a mark at Startup Mahakumbh, showcasing its flagship bike at the ARAI pavilion. The company has received over 8,000 registrations and 400+ pre-orders, showing strong early demand.
Avartan Technologies
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A pioneer in switched reluctance motor (SRM) manufacturing in India, Avartan has begun gaining traction in the U.S. market. They are in the final stages of product validation with a leading Indian home electronics brand for mixer grinder applications.
Intangles
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The intelligent vehicle diagnostics and telematics company is expanding aggressively in the U.S., with a partnership underway with one of the largest logistics players in the region. Intangles recently closed its Pre-Series B round with Cactus Venture Partners.
Ezerx
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A medical device manufacturer focused on non-invasive diagnostic technologies, Ezerx is now working closely with state governments in India to deploy its testing kits for non-invasive hemoglobin screening. The company has also begun to see traction in the U.S. healthcare market.
Question of the Month (Trivia)
Which of the following materials was first successfully used in 2024 to 3D print a fully functional satellite antenna?
A) Carbon fiber composite
B) Recycled titanium
C) High-performance ceramic
D) Aerospace-grade polymer
Correct Answer: C) High-performance ceramic
In 2024, researchers and engineers achieved a breakthrough by using high-performance ceramic to 3D print a fully functional satellite antenna for the first time. Ceramics are traditionally known for their brittleness, but advanced processing techniques now allow them to retain strength under extreme conditions—like the high radiation and temperature fluctuations of space.
Closing thoughts
From global advances in fusion and AI powered chips to local momentum in space-tech, Defence, and next gen factories, it’s clear: industrial innovation is speeding up, and capital is chasing real capability.
What we’re seeing this month only deepens our conviction at A99: the foundations of industrial India are being rebuilt with technology at the core. From smarter supply chains to globally competitive hardware, this is a long term shift. It’s a rare moment for founders to shape not just companies, but entire sectors. We’re here for it and backing those leading the charge.
We’ll keep tracking the trends and sharing what we’re seeing. Until next time, build boldly.
We’d love to hear your feedback and thoughts on the newsletter. If you’d like to connect or discuss anything further, feel free to reach out to us at pitch@artha99.vc or khushi@artha99.vc
