Bengaluru-based deeptech startup DheyaTech has secured ₹43 crore led by Avaana Capital to expand its aerospace propulsion manufacturing. The company plans to use the capital to build testing facilities and reach commercial scale. Investors are watching the firm’s progress toward critical flight trials scheduled for late 2026 and airworthiness certification.
DheyaTech, a Bengaluru-based startup focused on aerospace propulsion, has raised ₹43 crore in a funding round led by Avaana Capital. Existing investor Unimech Aerospace and Manufacturing also participated in this round. The company plans to use the funds to scale its manufacturing capacity, build an integrated engine testing facility, and accelerate the commercial rollout of its gas turbine engines.
Founded in 2018, DheyaTech designs small gas turbine engines ranging from 20 kgf to 400 kgf thrust. These engines are aimed at advanced aerial mobility and power generation. The company operates in a sector that is increasingly gaining importance in India, as the domestic aerospace and defense industry pushes for self-reliance in critical propulsion technology. By designing and building its own engines and Engine Control Units, DheyaTech is trying to reduce the reliance on imported systems.
Moving from prototype development to mass production is a significant step for any deeptech engineering company. The process is capital-intensive, requiring substantial investment in machinery and high-end testing infrastructure. The new funding will provide the company with the liquidity to move its products closer to market, but success will depend on its ability to execute its production plans without significant cost overruns.
One of the most important factors for DheyaTech in the coming months is the airworthiness certification process. The company is working with the Centre for Military Airworthiness and Certification (CEMILAC) under the Defence Research and Development Organisation (DRDO). Obtaining this certification is a mandatory, complex, and time-consuming process for any aerospace component intended for use in defense or sensitive aerial applications. Any delays in this certification could push back customer delivery timelines.
The startup has also expanded its technical focus into hydrogen-based propulsion and power generation. It is currently testing the DET 60, a hydrogen flex-fuel micro turbogenerator. As the global energy transition moves toward cleaner fuels, having hydrogen-compatible technology could offer a long-term competitive advantage. However, like its conventional gas turbines, these new technologies will also require extensive testing and validation before they can be deployed commercially.
Investors and industry watchers will be monitoring the company's progress toward its goal of conducting flight trials in the fourth quarter of 2026. Successful trials are often a key trigger for further investment and customer interest in the aerospace startup sector. For now, the core monitorables include the company's ability to maintain its engineering timeline, secure the necessary regulatory certifications, and successfully convert its existing order pipeline into delivered, operational engines.
