Chennai: Entellus Industries, India’s first rare earth metals and alloy manufacturing company, has raised ₹50 crore ($5.5M USD) in its second round of funding, led by ZeroW, a boutique investment firm focused on deep-tech and emerging sectors founded by the Mekapati Family Office, the promoters of KMC group, one of the largest infrastructure conglomerates in India. ValPro acted as transaction adviser. Entellus had previously raised USD 12 million from Social Capital, a Silicon Valley–based venture capital firm, to set up operations and build NdPr metal and Bonded Powder alloy manufacturing plants in Tamil Nadu.
The latest round of funding will be used for capex to expand into sintered alloys and take its existing products to market. With its proven product capabilities, Entellus expects the expansion to support production capacity of ~2000 tons of magnets per year.
Commenting on the fundraise, Simha Kumar, CEO, Entellus, said: “Proving technical capabilities in rare earth metal and alloy manufacturing is non-trivial and we are the first ones to achieve it verifiably in india. We wish to use this advantage in making India a truly global hub for rare earth magnet manufacturing”
The investment comes amid increasing focus on domestic manufacturing of critical materials under national initiatives such as Make in India, as global supply chains for rare earths and magnet materials undergo structural realignment. Entellus’s approach—building private-sector, commercially viable rare earth metal and alloy capacity—reflects a growing role for Indian manufacturing in strategic materials.