Indian drone maker Raphe mPhibr announced today that it has closed a $100 million all-equity Series B round led by General Catalyst, valuing the Noida-based company at roughly $250 million according to some accounts. Existing backers—among them Amal Parikh, Think Investments and several family offices—also participated, bringing the startup’s total capital raised to $145 million. The new funds will fuel Raphe’s research and development efforts and expand its local manufacturing footprint, a move that aligns with the government’s push for self-reliance in defence technology techcrunch.comdealstreetasia.com.
India’s drone market has entered a phase of rapid expansion as defence forces and border security agencies increase their reliance on unmanned systems. Last year the country’s drone spending nearly tripled to around $470 million, and projections point to further growth driven by modernisation programmes and a focus on homegrown manufacturing. Raphe mPhibr sits at the heart of this shift, building systems that range from surveillance platforms to self-coordinating drone swarms techcrunch.com.
Founded in 2016, Raphe mPhibr has used its nine-year journey to assemble an end-to-end aerospace production ecosystem. The company’s flagship mR10 drone swarm stands out as the first operational system of its kind, while the mR10-IC VTOL variant employs an internal combustion engine to sustain flights of up to three hours. Beyond that, the startup offers the mR20 for high-altitude logistics, the Man-Portable Bharat for rugged terrain surveillance, and the X8 designed for maritime patrol. With over 1,870 units built and more than 158,000 km flown, these platforms have proven their value in commercial, logistical and military use cases. Raphe reported operating income growth from ₹41.2 crore in FY 2023 to ₹84.3 crore in FY 2024, and then to ₹241.4 crore in the first nine months of FY 2025, underscoring strong financial momentum.
The round’s lead investor, General Catalyst, underscored Rapide’s potential to reshape India’s strategic autonomy in aerial systems. “Their deep engineering strength and full-stack manufacturing set them apart,” said Neeraj Arora, Managing Director at General Catalyst, in a press release. “This investment will help RaphePhibr scale its impact and support India’s path to secure, sovereign capabilities,s” globenewswire.com. Think Investments’ Shashin Shah added that he expects Raphe to emerge as a cornerstone of the country’s aerospace sector, given its integrated approach to design, materials, propulsion and avionics.
Beyond the numbers, this funding round signals a broader shift in the defence technology landscape. As global powers tighten export controls and supply chains grow fragile, India’s drive to indigenise critical systems has found new urgency. Raphe’s integrated campus—now spanning over 600 000 sq ft of metal-working, composites, electronics and flight-testing facilities—offers a blueprint for building sovereign aerospace capacity. The company’s focus on building swarm-enabled, AI-driven drones also positions it to meet fast-evolving threat profiles, from border standoffs to unmanned surveillance missions.
Analysis and Personal Insight
Raphe mPhibr’s ability to raise one of the largest sums in India’s aerospace history reflects growing confidence in domestic defence startups. The choice of an all-equity round signals investor belief in long-term value over quick exits. Looking ahead, Raphe must translate this capital into reliable production, stringent quality controls and robust after-sales support to match global standards. If it succeeds, the company could emerge as a spearhead of India’s Aatmanirbhar Bharat push in defence tech, and perhaps even export its systems to friendly nations. On the flip side, rapid scaling can strain supply chains and workforce training, so careful execution will determine whether Raphe truly secures India’s skies or simply lights up headlines.
