Global private equity firm Blackstone is in talks to invest $400-500 million in Bengaluru-based defence and avionics technology company Accord Software Systems Pvt Ltd (ASSPL) for a significant minority stake, according to reports from Mint. The potential deal underscores growing private equity and venture capital interest in India's defence technology sector, as rising geopolitical tensions worldwide drive demand for advanced military technologies and push countries to strengthen domestic defence capabilities.
Founded in 1991 by five engineers with experience in avionics and real-time embedded systems, Accord has evolved from a software developer into a specialist in global navigation satellite systems (GNSS). As reported by Mint, the company designs, develops and manufactures GNSS-based products and solutions for defence and space programmes. It makes satellite navigation devices, specialised computer chips and electronic systems that help aircraft, satellites and military vehicles determine their precise location and navigate safely.
According to Mint reports, Blackstone is in talks to acquire a 17-20% stake in the company, as India caps foreign ownership in companies classified as indigenously designed, developed and manufactured (IDDM) that supply equipment to the government at 49%. The deal can potentially go up to 49% depending on how the talks progress, with consulting firm PwC India helping Accord with the fundraise, as reported by Mint.
In a September 2025 credit rating note, Crisil reported that Accord had a turnover of around ₹234.52 crore in fiscal year 2025 (FY25) and was expected to grow at more than 30% in FY26. As reported by Crisil, the company's growth in earnings was supported by order execution, high margin products in Electronic Warfare Support Systems (EWSS) and GNSS receiver products. Crisil expects EBITDA to further improve in fiscal 2026, expected to be in the range of 30-35%, driven by the expected completion of ongoing and upcoming orders.
According to Mint reports, there is growing interest among large private equity firms to invest in defence, aerospace and manufacturing technology companies, with Accord sitting right at the centre of this theme. The company serves several defence and space establishments and other public sector undertakings, providing navigational and positioning products and timing systems to various defence and space organisations. This investment aligns with the government's push for greater private-sector participation in defence manufacturing through initiatives such as iDEX, ADITI and Make in India, with 25% of the defence research and development budget earmarked for the private sector to reduce import dependence.
