Aequs, a leading aerospace and contract manufacturing firm based in Belagavi, Karnataka, has officially kicked off its journey towards a $200 million initial public offering (IPO). Regulatory filings confirm that the board approved a special resolution to convert the company into a public limited entity. With this transformation, the company will operate under a new name—Aequs Limited—as it prepares for a market debut later this year.
This development marks a major milestone in Aequs’ nearly two-decade journey. Founded in 2006 by Aravind Melligeri, the company has grown into a global contract manufacturing powerhouse, with operations across aerospace, consumer goods, and toy manufacturing. Now, by stepping into the public markets, Aequs signals both maturity and ambition in equal measure.
IPO Structure: Fresh Issue + Offer for Sale
The planned IPO will include a mix of fresh equity issuance and an offer for sale (OFS) by existing shareholders. Through the fresh issue, Aequs aims to raise new capital to expand capacity, invest in R&D, and strengthen its balance sheet. Meanwhile, the OFS component will provide a partial exit route for early investors and possibly some promoters.
This structure mirrors the typical IPO blueprint in India, balancing growth capital infusion with stakeholder liquidity.
Although Aequs has not yet released the draft red herring prospectus (DRHP), the move to restructure into a public limited company confirms its intent to launch the IPO within this fiscal year. Analysts expect the company to file formal documentation with SEBI in the coming months.
Strategic Momentum from Magellan JV
Aequs’ IPO preparations come on the heels of a strategic joint venture with Canada’s Magellan Aerospace. Together, the firms will establish a sand casting facility in Belagavi, focused on producing high-precision aerospace components.
This new unit will boost Aequs’ metal casting capabilities—a critical component in the manufacturing of engine and structural parts for aircraft. The JV aligns perfectly with Aequs’ long-standing vision of building a vertically integrated aerospace ecosystem in India.
Magellan, a globally recognized name in aerospace engineering, brings expertise in casting, machining, and assembly of complex aerostructures. The partnership adds significant technological depth to Aequs’ offerings and signals its readiness to scale operations in both domestic and international markets.
From Belagavi to Global Supply Chains
Aequs has steadily expanded its presence across sectors and geographies since inception. It operates a massive 300+ acre SEZ (Special Economic Zone) in Belagavi, which hosts its flagship aerospace facility. This SEZ has attracted several global clients and partners, making it a central hub in India’s aerospace manufacturing map.
Aequs has capitalized on India’s growing stature as a reliable manufacturing alternative. The company supplies components to major global aerospace players and maintains strong relationships with original equipment manufacturers (OEMs) and Tier-1 suppliers.
In addition to aerospace, Aequs runs successful operations in consumer goods and toys, where it applies the same principles of precision, scalability, and quality control. It has leveraged integrated manufacturing ecosystems to deliver end-to-end product solutions—right from design and tooling to packaging and logistics.
This broad capability base differentiates Aequs from traditional contract manufacturers, allowing it to serve as a strategic partner rather than just a vendor.
Funding History and Growth Outlook
To date, Aequs has raised $95 million in funding. The most recent round in October 2023 brought in $54 million, led by Amansa Capital, a respected investment firm known for backing scalable and sustainable businesses in India.
These funds have helped Aequs modernize its infrastructure, expand its footprint, and enter new segments. Investors continue to view Aequs as a long-term play on India’s growing share in global manufacturing and aerospace services.
With the planned IPO, Aequs aims to turbocharge its growth plans. Industry insiders believe the fresh capital will fund:
- New manufacturing lines within the Belagavi SEZ
- Upgraded machining and automation capabilities
- International expansion, particularly in North America and Europe
- Innovation labs for material science and process engineering
- Enhanced ESG (Environmental, Social, and Governance) compliance measures
The aerospace sector, in particular, offers multi-decade growth potential, as global air travel rebounds and airlines modernize their fleets with fuel-efficient aircraft. Aequs stands ready to benefit from that trend.
Leadership: Vision with Execution
Aravind Melligeri, the founder and CEO, continues to lead Aequs with clarity and vision. His background in engineering and entrepreneurship has guided the company through cycles of expansion, diversification, and technological adoption. Under his leadership, Aequs has stayed focused on long-term value creation rather than short-term wins.
Melligeri has consistently emphasized self-sufficiency, local ecosystem building, and customer centricity. The SEZ model in Belagavi stands as a testament to that philosophy, providing infrastructure not just for Aequs but also for its partners and suppliers.
As the company enters the next phase of growth through public markets, Melligeri’s leadership will play a pivotal role in maintaining strategic direction and investor confidence.
India’s Aerospace Manufacturing Push
Aequs’ IPO arrives at a time when India is rapidly scaling its defense and aerospace manufacturing ecosystem. The Indian government’s ‘Make in India’ and PLI (Production-Linked Incentive) schemes continue to incentivize local production of high-value components, engines, drones, and satellites.
Global aerospace majors like Boeing, Airbus, and Lockheed Martin are deepening supply chain relationships in India. Aequs, with its proven track record and capacity, sits right in the middle of this transformation.
Moreover, India’s civil aviation market is projected to become the third-largest globally by 2030, spurring demand for maintenance, repair, and overhaul (MRO) services. Aequs can tap into this domestic tailwind while also serving overseas customers.
Investor Sentiment and Market Readiness
Market analysts remain optimistic about Aequs’ listing prospects. The company has demonstrated operational excellence, revenue growth, and sectoral relevance—all key traits investors look for in a manufacturing IPO.
By entering public markets, Aequs will also gain access to a broader investor base and improve its corporate governance standards. Institutional investors, especially ESG-focused funds, increasingly favor companies with industrial relevance and sustainability focus—both areas where Aequs performs well.
If market conditions remain stable, Aequs’ IPO could attract strong interest from both domestic and international investors.
Final Thoughts
Aequs has spent the last 18 years building deep capabilities, global relationships, and scalable infrastructure. Now, it’s stepping into the next phase—with public capital, strategic partnerships, and long-term ambition.
The $200 million IPO is more than a financial event—it’s a reflection of belief. Belief in Indian manufacturing. Belief in long-term value creation. And most of all, belief in Aequs’ ability to deliver world-class products from Belagavi to the world.