InCred Alternative Investments has announced an investment of Rs 185 crore in Hyderabad-based VEM Technologies to support the aerospace and defence company’s expansion plans.
The investment has been made through InCred’s private equity funds—InCred Growth Partners Fund-I (IGPF-I) and InCred Growth Partners Fund-II (IGPF-II).
According to a media statement, the fresh capital will be used by VEM to expand its production capacity, strengthen its advanced manufacturing capabilities, and set up a new manufacturing facility.
Founded in 1988, VEM Technologies develops and manufactures systems and components for India’s defence, aviation, and space programmes. The company supplies critical parts for key missile programmes and has emerged as an important partner in India’s growing defence manufacturing ecosystem.
“India’s defence and aerospace sector presents a compelling long-term investment opportunity, supported by structural policy reforms, increasing localisation, and rising focus on indigenous manufacturing capabilities,” said Vivek Singla, Managing Partner and CIO at InCred Alternative Investments.
The investment comes at a time when India’s defence manufacturing sector is seeing stronger government support, higher defence spending, and growing demand for locally made products and exports.
“Over the last several years, the Indian defence sector has witnessed a meaningful shift towards indigenous design, development, and manufacturing,” said V Venkata Raju, founder, Chairman and Managing Director of VEM Technologies Pvt. Ltd.
InCred Alternative Investments is part of the Bhupinder Singh-led InCred Group, which also operates a separate credit strategy business; and InCred Finance, a lending-focused NBFC.
