Space technology startup Ethereal Exploration Guild, operating under the brand name EtherealX, has raised $20.5 million in a Series A funding round. The round was co-led by TDK Ventures and BIG Capital, with participation from Accel, Prosus, YourNest Venture Capital, BlueHill Capital, Campus Fund, and Riceberg Ventures. The fresh capital marks a significant milestone for the Bengaluru-based company as it accelerates development of its launch vehicle program.
Building on a Recently Closed Seed Round
The Series A follows EtherealX’s $5 million seed funding round closed in August 2024. That round was led by YourNest Venture Capital and included participation from BIG Global Investments JSC, BlueHill Capital, Campus Fund, Golden Sparrow Ventures, IIFL Wealth executives Karan Bhagat and Yatin Shah, as well as Kiran Shetty and Akhilesh Agarwal. Together, the funding rounds reflect growing investor confidence in the startup’s technical roadmap and long-term vision.
Capital Allocation Focused on Reusability
According to the company, the newly raised funds will be used to develop Razor Crest Mk-1, its first fully reusable medium-lift launch vehicle. EtherealX stated that the project is central to its strategy of improving launch efficiency and reducing the overall cost of access to space. The company has positioned reusability as a core design principle across its vehicle architecture.
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Founders and Vision Behind EtherealX
Ethereal Exploration Guild was founded in 2022 by Manu J. Nair, Shubhayu Sardar, and Prashanth Sharma. The founding team set out to develop indigenous launch solutions capable of serving both domestic and international satellite missions. EtherealX aims to compete in the medium-lift segment with a reusable rocket system designed to support a range of orbital requirements.
Razor Crest Mk-1 and Mission Capabilities
The Razor Crest Mk-1 is being developed as a medium-lift launch vehicle with multiple mission profiles. The company has stated that the rocket is expected to place payloads of up to eight tonnes into low Earth orbit. It is also designed to deliver payloads to geostationary transfer orbit and trans-lunar injection trajectories, expanding its potential use cases beyond Earth observation missions.
EtherealX has also indicated that it is working on a fully reusable medium-lift launch vehicle in the 25-tonne class. As per the company’s disclosures, the Razor Crest Mk-1 under development can carry up to 24.8 tonnes into low Earth orbit and up to 10.8 tonnes into geosynchronous transfer orbit, highlighting its focus on high-capacity orbital transport.
Engine Development and Cost Efficiency
The startup stated that it has already developed two engines that will power the two stages of its reusable launch vehicle within a span of three and a half years. This in-house development approach is intended to reduce dependency on external suppliers, lower production costs, and shorten development timelines. EtherealX believes this model can make launches more efficient while improving vehicle turnaround times.
Proprietary Technology and In-House Infrastructure
EtherealX is also working on a reusable upper stage powered by a proprietary rocket engine feed cycle known as the Full Flow Segregated Cooling Cycle. The company has set a target of lowering orbital transport costs to a range of $500 to $1,000 per kilogram. It relies on in-house simulation tools and test infrastructure, which it says contribute to improved reusability and faster iteration cycles.
The company has reported manufacturing its 80 kN reusable upper-stage engine, named Pegasus. In addition, EtherealX has signed collaboration agreements with the Indian National Space Promotion and Authorization Centre, ISRO, other national space agencies, and multiple commercial satellite operators, launch aggregators, and launch ports across global markets.
Positioning for a Growing Space Economy
EtherealX’s expansion plans come at a time when the global space economy is projected to see strong growth over the next decade, with market research estimating it could reach $1.8 trillion by 2035. The company aims to position itself as a competitive player in this evolving ecosystem through reusable launch technology and cost-focused engineering.
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