London, 27 September 2023.- Sierra Space, subsidiary of private aerospace contractor Sierra Nevada Corporation, announced on the 26th of September that it closed a $290 million Series B funding round. The round brings the company’s total capital raised to $1.7 billion. Sierra Space’s valuation is now at $5.3 billion.
Sierra Space’s equity raise of $290 million was led by Japanese investors MUFG, Kanematsu and Tokio Marine, with significant participation from prior investors and insiders. The company noted the trio of investors are already working with the country’s space agency to study the market opportunity in low Earth orbit- where the ISS operates currently.
Two years ago, the company raised $1.4 billion at a $4.5 billion valuation from investors including General Atlantic, BlackRock, AE Industrial Partners, Coatue, and Moore Strategic Ventures.
The latest funding adds further momentum to Sierra Space’s growing partnership network in Japan, including the exploration of Oita Airport as a landing site for Sierra Space’s Dream Chaser spaceplane.
Dream Chaser has been in development with the goal to deliver cargo and crew to low Earth orbit as a reusable vehicle. It resembles a miniaturised NASA Space Shuttle in appearance and is built to launch atop a traditional rocket and land on a runway like an aeroplane.
“Sierra Space is excited to create a long-term strategic relationship with our Japanese investors and industry partners,” said Tom Vice, CEO of Sierra Space.
It is one of several companies working on a private space station. It plans to launch a “pathfinder” demonstration mission of its LIFE (Large Integrated Flexible Environment) habitat in 2026.