# Tessolve eyes $500M revenue through US and India acquisitions

> The semiconductor engineering firm is pursuing two strategic deals to fuel expansion and potentially go public within three to four years.
- Title: Tessolve eyes $500M revenue through US and India acquisitions
- Summary: The semiconductor engineering firm is pursuing two strategic deals to fuel expansion and potentially go public within three to four years. Tessolve is using…
- Keywords: tessolve, semiconductor engineering, acquisitions, hero electronix, srini chinamilli, revenue growth, india, united states, dream chip technologies, ai chips, data centres, ipo
- Source: The Economic Times — https://economictimes.indiatimes.com/industry/cons-products/electronics/tessolve-in-talks-to-acquire-two-firms-eyes-usd-500-million-revenue-in-3-4-years/articleshow/134366485.cms
- Author: PTI
- Published: 2026-09-20T10:15:00+00:00
- Read time: 2 min
- Topics: tessolve, semiconductor engineering, acquisitions, hero electronix, srini chinamilli, revenue growth, india, united states, dream chip technologies, ai chips, data centres, ipo
## Tessolve hunting two acquisitions
The semiconductor engineering firm is in active talks to buy one US company and one Indian company as part of its expansion strategy. One deal should close within months, the other by end of fiscal year.

> We are talking to one company in the US, and there is one local (Indian) company as well.
## Half-billion dollar ambition
Tessolve aims to cross USD 500 million in annual revenue within three to four years and become the world's number one semiconductor engineering solutions company. The firm is using acquisitions to add capabilities rather than purely chase revenue growth.

> Our aspiration is to cross half a billion dollar revenues in the next three-four years.
## Dream Chip deal paying off
Tessolve's acquisition of German chip design firm Dream Chip Technologies in November 2024 for Rs 400 crore has more than doubled that company's revenue. The deal shows how targeted acquisitions can unlock growth.

> Its most recent acquisition, Germany-based chip design firm Dream Chip Technologies, has "more than doubled" its revenue since being acquired in 2024.
## Strong organic growth trajectory
Tessolve's revenue jumped to Rs 1,526 crore in fiscal 2026 from Rs 1,157 crore in fiscal 2025. The company expects to exceed its Rs 2,000 crore target for fiscal 2027, with organic growth running at over 20 percent.

> We will for sure exceed Rs 2,000 crore... We have good organic growth. Organic growth is 20 per cent plus.
## AI chips driving a quarter of revenue
Work linked to artificial intelligence chips and data centres now accounts for at least 25 percent of Tessolve's revenue, a share that has been rising steadily over the past two years. This reflects the booming demand for AI infrastructure.
## TPG backs expansion with $150 million
US private equity firm TPG invested USD 150 million in Tessolve in September 2025, the company's largest fundraise to date. The capital will fund global delivery centres, advanced test labs, and strategic acquisitions.
## IPO remains a future possibility
Tessolve CEO Srini Chinamilli said a stock market listing is too early to comment on but described an IPO as definitely one possibility under consideration. The company has not yet begun formal preparations for going public.

> definitely one possibility
## Key takeaway

Tessolve is using targeted acquisitions to build capabilities and geographic reach, not just chase revenue, while riding a wave of AI chip demand.