Bengaluru-based Ethereal Machines raises $7.3 million in funding from Peak XV's Surge, others

Bengaluru-based engineering hardware startup Ethereal Machines announced on 24 July that it has raised $7.3 million in a funding round that saw participation from Surge, which is a program for early-stage startups by Peak XV Partners (formerly Sequoia India and Southeast Asia), Blume Ventures, and a host of angel investors.

The fundraise highlights the growing demand and opportunities in India's manufacturing sector, which is being buoyed by the government's push to Make in India, through initiatives such as the Production-Linked Incentive scheme.

The startup plans to use the fresh capital to build factories across India to manufacture essential precision engineering components."The new funds will enable us to scale our operations and cater to more high-end engineering applications locally and internationally,” said Kaushik Mudda, co-founder of Ethereal Machines.

In addition to Blume Ventures and Peak XV Partners' Surge, the round also saw participation from Ganapathy Subramaniam, partner at Celesta Capital, Mathew Cyriac, former head of Blackstone India, and Lip-Bu Tan, executive chairman of Cadence Design Systems and chairman of Walden International.