Vehant Technologies raises $9 million from True North through NCDs, plans IPO by 2026

AI-based security and surveillance solution provider Vehant Technologies has raised $9 million (about Rs 77 crore) in a funding round through non-convertible debentures from True North‘s Private Credit fund, the company said on Tuesday. Vehant Technologies plans 75% of the funds to increase its research and development activities to enhance its current offerings and develop innovative solutions for aviation security, smart cities, and enterprise analytics.

“This fundraise from True North will help us develop and launch more cutting-edge products in the areas of aviation security, smart and safe cities and enterprise analytics solutions. It will also help us in geographical expansion in the Middle East and Europe,” Vehant Technologies chief executive officer (CEO) and cofounder Kapil Bardeja said in a statement.

The company plans to use the remaining 25% of the funds for exports to key markets in the Middle East and Europe.

“These strategic investments are expected to propel the company revenue up to Rs 350 crore by FY26, setting the company’s foundation to accelerate further growth beyond the IPO. The funding received through a Non-Convertible Debenture (NCD) route, will hold significant importance for the company’s upcoming preparations for listing with an IPO within 12 to 18 months, by 2026,” the statement said.

Vehant plans to hire over 75 research and development specialists to increase the team size to over 500 members in order to stimulate its ambitious growth plans.

“We expect Vehant to be a big beneficiary of the government’s thrust on ‘Make in India’ and our investment will strengthen its R&D capabilities and technology moat. Investment in Vehant aligns with True North Credit Fund’s investment philosophy of backing well governed businesses with leadership positions in their sub-sectors,” Kapil Singhal, managing partner, Private Credit at True North said.