Several Indian spacetech startups are seeking to raise fresh capital as investors look for the next big winner in a sector that has seen large fundraises by Skyroot Aerospace and Pixxel.
Companies including Sisir Radar, Sanyark Space and PierSight are looking to raise fresh capital, according to several people familiar with the matter. Their fundraises will test whether the investor appetite that has produced large rounds for Skyroot and Pixxel extends to the next cohort of spacetech companies.
Spacetech startups have raised $331 million so far this year, compared with $210 million in all of 2025, according to Tracxn. But the number of deals has fallen to 37 from 69 last year, suggesting that the funding surge is being driven by a smaller group of companies.
Skyroot and Pixxel alone accounted for just under half of the funding raised this year, raising the question of whether investors will extend the same appetite for large cheques to the next cohort.
Hyderabad-based aerospace manufacturer and commercial launch vehicle startup Skyroot Aerospace turned unicorn—valued at over $1 billion—in May from Sherpalo Ventures and Singapore’s sovereign wealth fund, GIC.
Hyperspectral satellite imaging startup Pixxel from Temasek and Seraphim, the largest round by an Indian spacetech startup, valuing the company at around $400 million.
Kolkata-based Sisir Radar is looking to raise $20 million. “While the company is in the market, they haven’t settled on anything just yet, though there is a lot of inbound,” said one of the persons with direct knowledge of the matter. “They seem to be more focused on delivering on their existing contracts before they dilute more equity.” The company last raised $7 million in its Series A round from 360 ONE Asset, with participation from Shastra VC, in December 2025. While the startup’s current valuation is not yet known, in its last round, it was valued at $24.6 million post-money.
Sanyark Space, which builds satellite constellation for navigation and communication services is in the process of raising $10 million, according to two people familiar with the matter.
Avaana Capital and AUM Ventures, which invested $2 million in seed money in the Hyderabad-based company last year, are expected to put money in the new round as well, one of the persons cited above said.
Company co-founder and chief executive Raghava K., confirming the development, said, “We are raising a $10 million VC round which will be used for a satellite launch in Q4 and three further satellites for proving low-earth orbit-based PNT and communication technologies.” He declined to comment on how much the company’s valuation would rise. In its $2 million seed round, it was valued at $8 million, post-money.
Meanwhile, maritime and defence satellite startup PierSight, which is backed by $8 million in seed funding from various funds, including Natasha Malpani’s Boundless Ventures, is now in the market to raise $20-25 million, according to people with direct knowledge of the matter. “They’re currently in talks with Elevation Capital and Alpha Wave,” said a person directly involved with the deal, who declined to detail the valuation it is seeking.
Queries emailed to PierSight, Elevation Capital, Sisir Radar, and AUM Ventures didn’t elicit a response till the time of publishing.
Pockets of hesitancy
While startups are seeking larger cheques, investors remain cautious about how quickly India’s spacetech companies can build sustainable businesses and justify rising valuations.
“Valuations rising aren’t inherently a bad thing, but if investors begin to pump in money without understanding that these companies take a long time to mature, the ecosystem will eventually see corrections,” said Manu Iyer, co-founder and general partner at early-stage deeptech fund Bluehill.vc.
Most of the startups currently in the market to raise are looking for growth capital, something India’s growth investors are only just beginning to underwrite in the sector.
While many investors are looking to ride the wave following Skyroot’s success, they remain cautious. “It’s why we’re seeing growth investors making seed investments to test the waters,” said Ankit Anand, founding partner at Riceberg Ventures. The Bengaluru-based fund has been an early investor in EtherealX and Manastu Space. “However, this isn’t very healthy for the ecosystem, as it inflates valuations and founders struggle to deliver similar valuation growth in subsequent rounds.”
The challenge is partly a function of how young India’s private space industry is. The government to private players in 2020, and companies are only now moving from developing and launching technology to building commercially viable businesses.
“I think the next 3-4 years are going to be really crucial. We’ve seen launches, but how many of these companies will monetize effectively and really survive the commercial game still has to be answered,” said Sunil Shekhawat, chief executive at SanchiConnect, a networking platform for deeptech founders.
India’s private spacetech market is projected to hit $40 billion by 2030, up from $13 billion in 2025, according to a report by venture capital fund, Arkam Ventures. Its growth is expected to be 2x of the global growth rate of the sector.