Garuda Aerospace Files DRHP Via The Confidential Route: Targets ₹1,000 Crore IPO

Garuda Aerospace, a Chennai-based drone company, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The company chose the confidential route for filing its papers, so key details about the Initial Public Offering (IPO) are yet to be disclosed.

However, the listing is expected to happen towards the end of 2026 and here is what investors should know at this point.

How Is Garuda Aerospace’s IPO Shaping Up?

Garuda is planning to raise ₹1,000 crore through its IPO. This includes a fresh issue of ₹750 crore and an offer for sale of ₹250 crore. It has appointed SBI Capital, Axis Capital, ICICI, and IIFL as bankers for the listing.

The fresh issue proceeds are expected to go towards expansion and research and development.

As of now, no further information is available, as Garuda has not commented.

Who Is Garuda Aerospace?

Garuda Aerospace, based in Chennai, is a drone technology company that started in 2015. Its operations include manufacturing and deploying drones, while also offering Drone-as-a-Service (DaaS) and pilot training.

It works across different sectors like agriculture, defence, infrastructure, and disaster management. These include spraying, surveillance, mapping, and inspection.

The company follows an integrated model. It builds its own drone platforms and deploys them through a mix of owned and partner networks. With over 12 million flight hours and a wide service portfolio, it has worked with both government and private clients across India.

On the financial front, growth has been relatively modest. Revenue from operations rose about 7% year-on-year, from ₹10,994.55 lakhs in FY24 to ₹11,767.88 lakhs in FY25.

Profit after tax also edged higher. It moved from ₹1,582.46 lakhs to ₹1,726.74 lakhs, pointing to a gradual improvement of 9% in profitability.

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What Should Investors Watch Going Ahead?

Garuda Aerospace holds around a 30% market share in India’s agricultural drone segment. The firm has also doubled its production capacity from 12,000 units in FY25 to 25,000 units in FY26.

It is backed by investors like Venture Catalysts and We Founder Circle. Adding to the brand’s value is its association with Mahendra Singh Dhoni.

There is also a visible shift towards more advanced capabilities. The partnership with Airbus Helicopters, along with the plan to acquire up to 18 Flexrotor systems, points in that direction. This could open doors across defence, infrastructure, and global markets.

At the same time, this is still an evolving space. So things may not always move in a straight line. How the company adapts to changing regulations and technology will be critical to watch.

Equally important is how the IPO shapes up, and whether the company can execute its expansion plans post-listing.

Sources:

BW Disrupt

Financial Express