Deeptech Planys Technologies, a company based in Chennai which focuses on performing underwater inspection services, has successfully secured a substantial ₹100 crore (approximately $11.1 million) in a new round of funding. This major capital injection will go towards a two-fold strategic growth: expanding the industrial inspection business of the company to global markets and, most importantly, to the fast-growing presence in the defence tech industry through a new subsidiary established recently. It is the largest fundraise ever in the decade-old startup, and this is an indication of a massive drive both in the commercial and defence-related activities.

Strategic usage of capital

The investment round was led by major players in the investment fraternity, that is, ace investor Ashish Kacholia and Alchemy Capital co-founder Lashit Sanghvi. Various current investors also participated in the capital raise, and they included: Pratithi Investment, Samarthya Investment Advisors, 3i Partners and Letsventure, among other undisclosed angel investors. This most recent deal was designed as a combination of primary and secondary dealings, which significantly helped to sell off the early investors in Planys and offer some sort of a payoff to their original investors.

This significant capital is just after another capital raise in April 2024, when Planys had raised $5 million in an equity round, led by Ashish Kacholia as well. The startup currently has amassed over $9 million in different hands of investors throughout its history of operations. These investors are: MEMG Family Office, Golden Birch Investments, LetsVenture and Krishna Defence, among others, and they are showing long-term confidence of investors in the deeptech abilities of the company.

Planys Technologies has presented a concise three-pronged plan on how to use the new capital of ₹100 crore. The initial core focus is the expansion of its industrial inspection business in the international markets. It includes diversifying its proprietary underwater inspection services that operate under Remotely Operated Vehicles (ROVs) to marine parties across the globe.

The second significant investment is the accelerated development of the fast-growing defence tech business of the company. This specialised expansion shall be directed by its newly formed subsidiary, Planys Ark. Lastly, the company will establish a special unmanned underwater vehicle (UUV) manufacturing plant in South Chennai. The facility will be critical towards increasing the local production and supply of their high-tech marine robotics systems.

Primary focus and indigenous capabilities

The primary focus of Planys Technologies is the development of unmanned vehicles, including ROVs, hybrid crawlers, underwater Non-Destructive Testing (NDT) systems, and Autonomous Underwater Vehicles (AUVs). These systems are used to offer the necessary services, such as data acquisition and analytics, specifically to the marine sector, to assist in the maintenance and evaluation of highly important underwater infrastructure.

The startup boasts of a strong track record in its operation, with its UUVs having logged 25,000 hours of operation. This long history of operation represents 150 clients and 500 sites spread across more than 10 countries. Its prominent customer base is the Public Works Department (PWD) of the Maharashtra government, Port of Rotterdam in the Netherlands, Tata Steel, NTPC, Hindustan Petroleum and Bharat Petroleum. Its intensive technological innovation is also highlighted by the fact that it has received 21 patents, which have already been granted by the company, and another 15 patents are pending.

Planys has, over the years, focused its interests on the application of maritime warfare. The new subsidiary, Planys Ark, is meant to further increase this expansion. The startup provides specialised systems such as the AUV Svaayatt through this defence arm and is designed to play a critical role in the war on submarines, surveillance, and mines, and it can reach depths of up to 300 meters. Its ROV Trikhand specialised in mine countermeasures, documentation, as well as inspection in dangerous underwater locations.

This powerful excursion into defence tech by the IIT Madras-incubated startup is exactly the right move given the changing policy environment of the Central government. An evident and accelerated transition towards focusing on the implementation of indigenous deeptech capabilities in the Indian defence ecosystem is observed. This national strategic objective has led to a rise in startups in the industry as well as an overall trend in the market.

Conclusion

The ₹100 crore fundraise by Planys Technologies helps to consolidate the company as a leader in the Indian deeptech and marine robotics market. The decision to invest the capital in global expansion and to officially step up its defence tech activities with Planys Ark is a move that would put the company in a strategic position to capitalise on the international industrial requirements and the emerging domestic defence market. The action not only reflects the maturity of the proprietary UUV technology of the startup but also reflects its nationalisation in line with the capabilities of the country in developing robust and indigenous defence technology capabilities, which are part of the estimated growth of the market driven by the defence technology in India in 2030 to reach $19 billion.