JJG Aero Secures $12 Million in Funding from CX Partners
Bengaluru-based aerospace components manufacturer, JJG Aero, has secured $12 million (₹100 crore) in inaugural funding from CX Partners. The funds will be used primarily for increasing its manufacturing capacity at its new facility, further vertical integration and other corporate initiatives.
Established in 2008, JJG Aero specializes in manufacturing build-to-print high-precision machined components, with in-house special process finishing capabilities. While the Company is primarily focussed on building its business in commercial aerospace segment, its diverse capabilities are put to use with its customers in automotive and industrial segments. The Company’s prestigious clients include marquee American & European OEMs and Tier-1 vendors.
“We have spent the last decade in building best-in-class capabilities, processes, compliance standards, customer relationships and obtaining requisite approvals and certifications, and we are now in the right place to grow rapidly. The aerospace supply chain is facing all-time high demand from aircraft manufacturers, which the legacy vendors in the Western world are struggling to meet. The global geopolitical issues, economic stability and Government support make India ideally placed to benefit from this. With our strengths and value proposition, we see ourselves emerging as a key player in the aerospace ecosystem. India has emerged as an attractive destination for sourcing components and parts by global leaders and we are excited to be selected by so many marquee clients as a strategic growth vendor” said Anuj Jhunjhunwala, CEO, JJG Aero.
“We are thrilled to invest in JJG Aero, our first in this segment. JJG Aero has demonstrated remarkable growth, with a CAGR of 35% over the last three years. This investment will enable JJG Aero not only to continue on its growth path through capacity addition but also upgrade quality of earnings by focusing on higher value-added components. Indian businesses have proven ability to provide high quality products and services as an outsourcing partner to their customers. With strong industry tailwinds, we believe that aero-parts and component manufacturing is emerging as one more segment in India’s manufacturing outsourcing story. With its foray into manufacture of aero-engine components, we believe JJG Aero is well-positioned to capitalize on these opportunities and further solidify its presence in the market.” – Vivek Chhachhi, Managing Partner, CX Partners
From simple 2-axis to complex 5-axis machining, JJG Aero offers a wide range of manufacturing services, complemented by over 30 NADCAP-approved special processes, including electroplating, anodizing, paint, and NDT. Moreover, the company provides assembly, testing, and other value-added services to its esteemed client base. JJG Aero has 3 fully integrated manufacturing facilities in the Bommasandra-Jigani area, near Bangalore, in Karnataka, ably run by a team of 700 people. JJG Aero is setting up an additional facility dedicated to the aerospace segment.
Veda Corporate Advisors acted as the sole transaction advisor on the deal.
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