Key Takeaways:
- Skyroot is the first Indian private space startup to cross the $1 billion valuation mark.
- The funding round was co-led by Singapore’s GIC and Sherpalo Ventures, led by early Google investor Ram Shriram.
- The capital is earmarked for the Vikram-1 orbital launch and the development of the larger Vikram-2 vehicle.
Indian launch vehicle startup Skyroot Aerospace has raised $60 million at a $1.1 billion pre-money valuation, becoming India’s first spacetech unicorn weeks before the planned launch of Vikram-1, the country’s first privately developed orbital rocket.
The Hyderabad-based company said the funding round was co-led by Singapore sovereign wealth fund GIC and Sherpalo Ventures, the investment firm run by early Google investor Ram Shriram. The latest funding doubles Skyroot’s valuation from $550 million three years ago.
Skyroot said the capital will support launches of its Vikram-1 rocket, expand manufacturing capacity, and accelerate development of its next vehicle, Vikram-2.
Private Rocket Launch Nears After Major Funding Round
The investment comes as Skyroot prepares for the launch of Vikram-1, which is expected to become India’s first privately built and operated orbital-class rocket. Last week, the company transported the rocket’s flight hardware from Hyderabad to the Satish Dhawan Space Centre in Sriharikota.
“We at Skyroot Aerospace are excited about the upcoming Vikram-1 launch, India’s first private orbital rocket, marking a significant milestone both for India and the global space sector,” co-founder and Chief Executive Pawan Kumar Chandana said in a statement.
In 2022, Skyroot launched Vikram-S, which became the first privately built Indian rocket to reach space.
Shriram, who will join Skyroot’s board, said the company had demonstrated strong progress in the orbital launch sector.
“I’ve believed in the Skyroot team since the early days, and that conviction has only deepened as the team marches forward to the launchpad with Vikram-1,” Shriram said in a statement.
Investors Increase Bets on India’s Expanding Space Sector
The funding reflects growing investor interest in India’s private space industry as the sector expands beyond launch vehicles into earth observation, in-orbit services, and space domain awareness.
According to industry data cited in the report, venture capital investment in Indian spacetech companies reached $276 million across 33 deals in 2025, exceeding the combined total of the previous two years.
New investors in Skyroot Aerospace include the founders of Greenko Group, the Shanghvi Family Office, and Playbook Partners. Existing investors include Arkam Ventures and BlackRock.
Skyroot’s closest competitor, Agnikul Cosmos, raised $17.5 million in November at a reported valuation of $500 million and is also preparing for a vehicle launch this year.
Early-stage investors, including Arkam Ventures and Zerodha-backed Rainmatter Capital, have increasingly expanded investments into spacetech ventures as India opens more opportunities for private companies in the sector.
Skyroot Plans Vikram-2 Development and Manufacturing Expansion
Skyroot Aerospace said the new funding will be used to scale manufacturing operations and broaden the range of missions and customers it serves.
The company also plans to accelerate development of Vikram-2, its next-generation launch vehicle designed for larger payload missions.
India has rapidly opened its space sector to private participation in recent years, allowing startups to enter areas previously dominated by the Indian Space Research Organisation.
With multiple private launch companies preparing missions in 2026, analysts say investors are increasingly targeting businesses across the space technology value chain, including satellite observation, situational awareness, and in-space services.
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