Key facts
- Astra Space is seeking to raise $250 million in a funding round.
- The company is valued at $1 billion for this funding round.
- Astra aims to expand its mobile-launch rocket program and spacecraft propulsion business.
- The company was taken private in 2024 at a $11.25 million valuation.
- Astra is developing the expendable Rocket 4, targeting launches from 2027.
U.S. rocket company Astra Space is seeking to raise $250 million at a $1 billion valuation in a funding round expected to close this quarter, CEO Chris Kemp told Reuters. The company aims to rebound from years of financial struggles and a delisting in 2024.
Astra, once valued at over $2 billion after going public in 2021, was taken private in 2024 for $11.25 million following repeated launch failures. The current fundraising effort is the company's first since an $80 million raise last year, which was used to cover legal costs, settle shareholder lawsuits, and refinance the company.
While many in the space industry focus on reusable rockets, Astra is betting on low-cost, expendable launch vehicles. The company's strategy is to offer militaries the ability to rapidly launch satellites from dispersed locations, making space assets less vulnerable to attack. CEO Chris Kemp stated that this approach allows for "hundreds of spaceports" whose locations are unknown to adversaries like China.
Kemp previously scrapped the company's original rocket after a low success rate and is now focusing on Rocket 4, a larger expendable vehicle planned for launches starting in 2027. Astra is also leveraging its satellite propulsion business, which has sold hundreds of thrusters, and touts Rocket 4's projected $5 million launch price as significantly cheaper than competitors.