Infosys To Invest Additional Rs 7.2 Crore in UAVs Making Startup ideaForge Technology

Infosys will invest an additional $1 million (around Rs 7.2 crore) in ideaForge Technology, a UAV systems manufacturing company, the IT services major communicated on Friday, February 12.

The Mumbai-based startup recently got a contract of $20 million from Indian Army.

In 2016, Infosys had invested in the Indian start-up. The latest round of investment is likely to be concluded in the fourth quarter of FY21, the company said in a regulatory filing.

"The company has agreed with ideaForge Technology... to invest an additional $1 million (earlier, the company had invested $1.5 million in 2016) taking the cumulative investment to $2.5 million as of date, subject to necessary closing conditions," Infosys added.

The filing further noted that the company has a minority holding, not exceeding 20 per cent of its outstanding share capital.

"ideaForge's UAV systems are increasingly being used across a wide spectrum of organisations. Several customers of Infosys have also embraced UAV systems as they digitalise rapidly. The investment is intended to be utilised on R&D, sales, marketing, business development and working capital needs at ideaForge," it added.

This is expected to enhance joint capabilities to help Infosys customers better, the filing said. 

ideaForge is known for rugged and high-precision UAV systems. The systems are used extensively for inspection, surveillance, and mapping with integrated vertical solutions across defence, homeland security, mining, construction, agriculture, energy and utilities.