Hyderabad: Apollyon Dynamics, a defence technology startup founded by two BTech students from BITS Pilani Hyderabad campus, has raised ₹4 crore in a pre-seed funding round, marking a significant push for its work on advanced unmanned aerial vehicle (UAV) systems aimed at defence applications. The funding round, led by Naandi Ventures, also saw participation from prominent spacetech firms including Skyroot Aerospace, Dhruva Space, and Agnikul Cosmos, giving the company a post-money valuation of around ₹25 crore, according to people familiar with the development.
The startup, which emerged from a hostel room idea in 2025, has quickly gained attention in India’s emerging defence-tech ecosystem for developing high-speed UAVs and kamikaze drone systems designed for tactical military use. The fresh capital will be deployed to expand research and development, strengthen in-house manufacturing capabilities, and scale testing infrastructure for rapid prototyping and deployment, the founders said.
Founded by Jayant Khatri and Sourya Choudhury, both engineering students specialising in mechanical and electrical disciplines, Apollyon Dynamics began operations in May 2025. The company initially gained traction after demonstrating prototype UAV systems to defence stakeholders and subsequently receiving interest from the Indian Army, which reportedly engaged the startup for drone solutions within months of its inception.
According to earlier reports, the startup’s early systems included high-speed drones capable of exceeding 300 kmph, designed for precision operations and surveillance use cases. These UAVs were developed to carry lightweight payloads and operate in fast-response tactical scenarios, positioning the company within India’s growing indigenous defence manufacturing segment.
The founders said the new funding will allow them to focus on building independent testing and production ecosystems, reducing reliance on external vendors and improving development speed. The company currently operates with a 20-member team and has set up manufacturing and testing units in proximity to its Hyderabad base, enabling faster iteration cycles for defence prototypes.
Industry observers note that the investment reflects increasing investor interest in deep-tech and defence startups in India, particularly those aligned with government initiatives to promote domestic manufacturing under the broader “Make in India” framework. The participation of spacetech firms in the funding round also signals growing convergence between aerospace, spacetech, and defence innovation ecosystems.
Naandi Ventures, which led the round, has been actively investing in early-stage deep-tech ventures, particularly in sectors such as defence, space technology, and advanced engineering systems. While the firm did not disclose detailed terms of the investment, it said the startup demonstrated “strong potential for rapid deployment-focused defence innovation.”
Apollyon Dynamics’ growth trajectory has been unusually fast for a pre-seed stage startup. Within months of its establishment, the company reportedly moved from early-stage prototyping to field-level demonstrations and limited production capabilities. The startup has also expanded its engineering team and established multiple operational units near its Hyderabad base to support ongoing development.
The defence technology sector in India has seen increased activity in recent years, with several startups entering UAV, surveillance, and autonomous systems development. Government-backed procurement interest and rising demand for indigenous defence solutions have contributed to the expansion of the sector.
With the latest ₹4 crore funding, Apollyon Dynamics plans to accelerate development of faster, more precise UAV systems, expand hiring of engineering talent, and strengthen its manufacturing capacity to support scalable production. The founders said the focus will remain on improving system reliability and real-world deployment readiness.
The company is now expected to play a part in India’s evolving defence-tech startup landscape, where early-stage ventures are increasingly moving toward field-tested solutions in collaboration with defence institutions and ecosystem partners.
