Temasek invests $27.5 million in Indian space-tech startup Skyroot

Hyderabad based space-tech company Skyroot Aerospace has raised an additional $27.5 million in a pre-Series C funding round led by Temasek, a global investment company headquartered in Singapore.

The present capital infusion builds upon the company's previous raise in 2022, bringing its total funding to $95 million, which is the largest ever for an Indian space-tech startup.

Skyroot plans to utilise the newly acquired capital to drive its next phase of growth through increased investments in infrastructure, reinforcement of its technology leadership, attraction of top-tier talent, and the enhancement of its launch frequency and capabilities, a company statement says.

"As we prepare for the launch of our second mission early next year, this new funding will enable us to accelerate our upcoming launches planned over the next two years. India's successful moon landing mission has reignited global interest in India's space prowess. As a key player in India's private space industry, we are amplifying our capabilities to tap into the expanding global satellite launch market with a goal to emerge as a favourite ‘go-to’ choice in space launch services for small satellites," Pawan Kumar Chandana, the co-founder and CEO of Skyroot, says.

Founded in 2018 by space scientists-turned-space entrepreneurs, Pawan Kumar Chandana and Naga Bharath Daka, Skyroot successfully launched India's and South Asia's first, and till date the only, privately developed rocket in November 2022. As the leading player in small and medium space launch vehicle designing and building in India's private sector, the company offers on-demand, cost-effective, reliable and regular space launch services to the fast-expanding global small and medium-sized satellite market, with satellite operators who look to deploy single or constellations of satellites across orbits as its customers.

Skyroot was also the first startup to sign a memorandum of understanding (MoU) with the Indian Space Research Organization (ISRO) for access to ISRO's facilities and expertise.

Bharath Daka, the co-founder and COO of Skyroot, says they are thrilled to welcome a globally renowned investor like Temasek putting their trust and joining them. "This fund-raise will help us to invest in the enhancement of our production infrastructure, R&D and team strength that will enable us to achieve higher launch cadence in the years to come," he says.