Monday, July 7, 2025
HomeStart UpFabheads raises $10 Mn Series A led by Accel

Fabheads raises $10 Mn Series A led by Accel

Chennai-based composite manufacturing tech startup Fabheads has secured $10 million in Series A funding to advance the automation of composite fiber production. The funding round was led by Accel, with additional support from Trifecta Capital. This latest investment brings Fabheads’ total funding to $13 million, following its earlier seed and pre-seed rounds that raised $3 million in 2021.

With the fresh capital, the company plans to significantly scale its manufacturing capabilities. Additionally, it aims to expand its leadership team and further strengthen its client-facing engineering and R&D functions to support its growth strategy.

As part of its expansion strategy, Fabheads will set up a new manufacturing facility in Bengaluru focused on serving the aerospace industry and addressing rising international demand. Fabheads expects to have the facility up and running within the next six months.

Founded in 2015 by former ISRO engineers Dhinesh Kanagaraj and Abhijeet Rathore, Fabheads leverages robotic automation for processes like fiber placement and layering—helping manufacturers cut costs by up to 50% and reduce rejection rates by 20%. Its proprietary system also reduces material waste by 20% and shortens production cycles by up to 30%, offering a significant upgrade over traditional manual methods.

Dhinesh Kanagaraj, Co-founder and CEO at Fabheads, said, “This funding enables us to take a major step towards making composites accessible for aerospace, mobility, clean energy, and more. As the only company from India with this specialized technology, we are uniquely positioned to lead innovation in the composite manufacturing space both domestically and globally.”

Prayank Swaroop, Partner at Accel, said, “​​As composites become increasingly vital across aerospace, defense, mobility, and renewable energy, Fabheads is addressing the core manufacturing bottlenecks that have long hindered widespread adoption. We’re excited to back their journey of building world-class deeptech from India for the world.”

India’s composite materials market, valued at $1.8 billion in 2024, is projected to grow to $2.8 billion by 2030, with a compound annual growth rate (CAGR) of 7.8%. Supporting this growth, the Indian government is actively encouraging domestic manufacturing of advanced materials. Key initiatives include plans to begin carbon fiber production by 2025–26 and a target of $10 billion in technical textiles exports by 2030, under schemes such as the National Technical Textiles Mission and Production-Linked Incentive (PLI) programs.

Subscribe To Newsletter

ICYMI

BRL Editor
BRL Editorhttps://businessreviewlive.com
Business Review Live covers finance, technology, travel, lifestyle, and everything in between through exclusive interviews and analysis, market statistics, digital video, and an expanded array of content formats.