Key facts
- Japanese space tech startup Letara has raised $16 million in new funding.
- The company plans to develop large rocket systems for space, defense, and security markets.
- Letara's technology utilizes a hybrid rocket design with solid fuel (plastic, rubber) and liquid oxidizer.
- The funding round was co-led by Headline Asia, JIC Venture Growth Investment, and Incubate Fund.
- The company aims to address limitations in thrust generation, performance maintenance, and combustion control for hybrid rockets.
- The global hybrid rocket propulsion market is expected to grow significantly by 2032.
Japanese space technology startup Letara has secured approximately $16 million in new funding to expand its operations beyond satellite thrusters and develop large rocket systems. The company, based in Sapporo, aims to target the space, defense, and security markets with its hybrid rocket technology.
The funding round was co-led by Headline Asia, JIC Venture Growth Investment, and Incubate Fund, with participation from strategic investors including energy company NES Corporation, Toyota Group supplier Toyoda Gosei, and IT company Frontier Innovations. This capital infusion will enable Letara to move beyond demonstrations and explore a wider range of use cases for its hybrid rocket systems.
Letara's core technology involves a hybrid rocket design that separates solid fuel, made from inexpensive materials like plastic and rubber, from a liquid oxidizer. This proprietary manufacturing process ensures reliable ignition and consistent burning, aiming to provide more thrust with less waste compared to traditional hybrid rockets. The company seeks to overcome limitations in thrust generation, performance maintenance, and combustion control.
Founded in 2020 out of research at Hokkaido University by co-CEOs Landon Thomas Kamps and Shota Hirai, Letara initially focused on satellite thrusters. The company is now expanding its ambitions to meet growing demand for launch vehicles and defense capabilities. Letara targets satellite makers, operators, launch companies, and governments, and has reportedly secured orders from both commercial entities and the Japanese government.
The global hybrid rocket propulsion market is projected to grow from $848 million in 2024 to $2.6 billion by 2032, with a compound annual growth rate of 15%. Letara's next significant step is an in-orbit firing test with an overseas partner, a crucial move toward commercialization.