Acquisition · Professional & Local Services

Karkhana buys Micron EMS for ₹10 crore

By Startup Enthusiast · 9 March 2026

What they do

It acquired Micron EMS Tech for about ₹10 crore in cash and equity, adding a Bengaluru facility with SMT lines and box-build capabilities

The deal brings PCBA and system-level manufacturing in-house, supporting Karkhana's goal to nearly triple revenue to ₹200 crore by FY27

The acquisition also supports expansion into telematics, medical devices, and energy systems, and exports to the US and Europe

Karkhana acquired Micron EMS Tech Pvt Ltd, an electronics manufacturing services firm.
The deal is valued at around ₹10 crore, paid through a mix of cash and equity.
The acquisition adds a 40,000+ sq ft manufacturing facility in Bengaluru.
The facility includes high-speed SMT lines, through-hole PCB assembly, and 10+ box-build lines.
Karkhana now brings PCBA, advanced testing, and system-level manufacturing in-house.
Previously, Karkhana operated as a B2B manufacturing aggregator connecting OEMs with contract manufacturers.
The combined entity will operate with a 150+ member team across manufacturing, engineering, quality, and operations.

Electronics accounts for 60-70% of product cost, according to founder Sonam Motwani.
Micron EMS brings over 15 years of manufacturing experience and established shop-floor processes.
Rising demand for data centres driven by AI creates new opportunities for electronics manufacturing in India.
The acquisition supports Karkhana's plan to bring 60-70% of production in-house.

Karkhana is a B2B manufacturing aggregator platform connecting OEMs with contract manufacturers.
It works with 25+ OEMs across various sectors.
Revenue mainly comes from automotive electronics, industrial electronics, and connected consumer devices.
Automotive electronics, especially electric mobility (charging infrastructure, battery packs, motor controllers), contributes 40-50% of revenue.
The company plans to deepen presence in existing categories and expand into telematics, medical devices, and energy systems.
It targets ₹200 crore ARR by FY27, nearly tripling current scale.
Plans include expanding exports to the US and Europe under a China+1 strategy.
Long-term goal is to evolve into an original design manufacturer (ODM) with own product designs and IP.