Sanlayan

Sanlayan Technologies is a defense and aerospace electronics startup addressing India’s need for indigenous, mission-critical systems. The company emerged to bridge gaps in India’s defense electronics value chain, leveraging a hybrid strategy of acquisitions, in-house R&D, and global partnerships. Sanlayan operates in the defense, aerospace, and space sectors, designing and manufacturing advanced electronic systems for avionics, naval operations, radar infrastructure and satellite platforms. 

Core Products and Services

• Avionics Systems: Mission computers, navigation aids and communication modules for fighter jets and UAVs.

• Radar Electronics: Development of AESA (Active Electronically Scanned Array) radar for India’s unmanned underwater vehicle (UUV) program.

• Naval Systems: Signal processing units and sonar electronics for submarines and warships.

• Space Platforms: Satellite communication modules and payload systems, including contributions to ISRO’s Aditya-L1 mission.

• Electronic Warfare (EW) & CUAS: Counter-unmanned aerial systems (CUAS) and jamming technologies.

• ESDM Services: Through Dexcel, Sanlayan provides end-to-end electronic system design and manufacturing for legacy defense upgrades.

Key milestones 

• March 2024: Raised ₹36 crore ($4.4 million) in seed funding led by Jungle Ventures, enabling the acquisition of Dexcel Electronics—a 25-year-old ESDM firm with contributions to Sukhoi, Jaguar, and Chandrayaan-3.

• June 2025: Secured ₹186 crore ($22 million) in Series A funding from Ashish Kacholia, Lashit Sanghvi and Jungle Ventures, achieving a post-money valuation of $50 million.

Business Model & Revenue Streams

• Product Sales (65% of FY24 revenue): Generated ₹24 crore ($3 million) from avionics, radar and naval systems.

• Services (30%): R&D contracts and system integration contributed ₹11 crore ($1.4 million), with 50% gross margins.

• Licensing (5%): IP sharing with global OEMs for joint development projects.

Geographically, India accounts for 90% of revenue, with Southeast Asia and Africa contributing the remainder. Customer segmentation:

• Defense & Aerospace (70%): Indian Armed Forces, DRDO, ISRO  and HAL.

• Private Sector (25%): Partnerships with OEMs like Tata Advanced Systems.

• Global OEMs (5%): Tech co-development for export-focused solutions.

Top Clients & Partnerships

• Indian Air Force: Avionics upgrades for Sukhoi Su-30MKI and Jaguar fleets.

• ISRO: Satellite communication modules for Chandrayaan-3 and Aditya-L1.

• Dexcel Electronics: Majority acquisition (2024) providing access to legacy defense programs and manufacturing scale.

• Hindustan Aeronautics Limited (HAL): Co-development of radar subsystems for Tejas Mk-1A.

• Global OEMs: Undisclosed partnerships for AESA radar and EW systems.

Future Outlook & Strategic Priorities

• Product Innovation: Scaling AESA radar and CUAS technologies, targeting 50% revenue from EW systems by 2027.

• Acquisition Pipeline: Plans to acquire 2–3 defense MSMEs annually to bolster vertical integration.

• Global Expansion: Leveraging partnerships to enter Southeast Asian and Middle Eastern markets.

• Regulatory Dependency: Delays in defense procurement processes and budget reallocations.

• Tech Complexity: High R&D costs and competition from established players like Bharat Electronics Limited (BEL).