Aerospace company JJG Aero to Pump in Rs 500 Crore for Growth Strategy

JJG Aero, an international franchise of the Media brand, is set to bolster its presence in the aerospace industry with a substantial investment of INR 500 crore. This move aims to expand the company's manufacturing capacity and further vertical integration, as announced by the CEO, Anuj Jhunjhunwala.

The investment, secured last year from CX Partners, will primarily be used for the construction of a new 10-acre factory. The first phase of this facility is expected to become operational by mid to end of 2027. This expansion comes as JJG Aero continues to add 60 new aerospace parts every month, reflecting its growing portfolio in this sector.

JJG Aero is diversifying into critical segments such as engine parts, avionics, and landing gear. This strategic move is expected to contribute approximately INR 160 crore to the company's revenue this year, with the remaining coming from its Machinery and Special Processing units.

The company's growth rate over the last 3-4 years stands at a robust 30% CAGR, and it is projected to generate approximately INR 240 crore in revenue this year. In addition, JJG Aero is projected to reach INR 500 crore in revenue by FY28-29.

Europe and the US are the second and largest markets for JJG Aero, contributing about 25% and 50% to its revenue, respectively. India, being the third largest market, also contributes about 25% to the company's revenue.

To support this growth, JJG Aero has been aggressively hiring, adding about 200 people in the last 3 years. The company currently employs approximately 600 people, with approximately 80% being blue-collared workers for machinery and quality control.

In a bid to nurture talent, JJG Aero has tied up with universities and ITIs for training mechanical engineers and new graduates. This initiative underscores the company's commitment to fostering a skilled workforce and driving innovation in the aerospace industry.

The investment group that planned to commission the new plant for JJG Aero in 2027 contributed 170 million euros to the cause. This funding will undoubtedly propel JJG Aero towards its goal of becoming a leading player in the global aerospace market.

With its strategic expansion, JJG Aero reaffirms its position as a profitable company, demonstrating its ability to adapt to market demands and capitalize on growth opportunities in the aerospace sector.