The Maharashtra Defence and Aerospace Venture Fund (MDAVF), an alternative investment fund managed by IDBI Capital Markets and Securities Ltd, said Monday it has exited two companies that it backed four years ago.
The fund, which invests in companies in the defence and aerospace sectors, has exited Cyronics Innovation Labs Pvt. Ltd and JSR Dynamics Pvt. Ltd through secondary transactions, realizing Rs 14.46 crore and Rs 59.15 crore, respectively. It didn’t disclose the names of the buyers.
“Both Cyronics and JSR Dynamics are instrumental in driving technological progress and self-reliance within India’s defence and aerospace industries with a focus on enhancing the operational effectiveness of defence forces,” said Amey Belorkar, fund manager of the MDAVF.
Cyronics was founded in 2020 and specialises in software-defined radio technologies for the defence and aerospace sectors. It uses AI and machine learning for its solutions. Its clients include defence and aerospace organisations, including Kirloskar Oil Engines Ltd, Navstar Integrated Systems Pvt. Ltd and Theta Controls, among others.
JSR Dynamics was founded in 2018. The company is engaged in the development and manufacturing of advanced munitions, including glide bombs and loitering munitions.
The MDAVF has invested approximately Rs 406 crore in 22 MSMEs to date. The fund, which primarily focuses on investments in missile systems, naval systems, and electronic warfare companies, said it has executed full and partial exits from 12 companies, realizing divestment proceeds of around Rs 281 crore.
“We’ve realized more than 30% IRR (internal rate of return) on all the exits we’ve made so far, including the exits from Cyronics and JSR Dynamics,” said Belorkar, adding, “We’ve already delivered 1x DPI and have also made new investments from the capital we’ve made with the exits so far.”
