India’s private space sector has its first unicorn. Hyderabad-based rocket company Skyroot Aerospace unicorn status is now official after the startup raised $60 million in a fresh funding round, pushing its valuation to $1.1 billion and cementing its position as the most valuable India space-tech startup in the country.
The round was led by Singapore’s sovereign wealth fund GIC and Sherpalo Ventures in a GIC Sherpalo Ventures funding deal that also drew participation from BlackRock, Playbook Partners, and the Sanghvi family office. The latest raise brings Skyroot’s total capital to $160 million since the company was founded in 2018.
The Timing Could Not Be More Strategic
The GIC Sherpalo Ventures funding arrives at a pivotal moment for Skyroot. The company is in final preparations for the launch of the Vikram-1 orbital rocket, which is set to become India’s first privately developed orbital launch vehicle. Designed to carry commercial payloads into low Earth orbit, the Vikram-1 orbital rocket represents the clearest sign yet that India’s private space sector has moved well beyond proof-of-concept territory and into operational readiness.
CEO and co-founder Pawan Kumar Chandana said the capital secures the company’s financial requirements through the critical transition to commercial launch operations. He added that Skyroot Aerospace would evaluate whether further fundraising is needed once missions begin generating revenue.
The proceeds will be used to support Vikram-1 orbital rocket launch operations, scale manufacturing capacity at Skyroot’s Infinity Campus in Hyderabad, and fast-track development of the next-generation Vikram-2 rocket currently in progress.
A Startup Built Inside ISRO
Skyroot Aerospace was founded by two former scientists from the Indian Space Research Organisation. CEO Pawan Kumar Chandana studied mechanical engineering at IIT Kharagpur before spending years at ISRO working on launch vehicle systems. Co-founder and COO Naga Bharath Daka studied electronics engineering at IIT Madras and worked with semiconductor company Xilinx before his time at ISRO.
The two left their government roles with a clear mission: build a private launch company capable of making satellite access faster, more affordable, and commercially viable for operators worldwide. Their work would eventually lay the foundation for India’s private space sector as it exists today.
In 2020, this India space-tech startup became the first private company to sign an agreement with ISRO to use its launch and testing infrastructure, a landmark deal made possible by India’s decision to open the space sector to private participation. In November 2022, Skyroot Aerospace achieved another first, successfully launching Vikram-S, a single-stage sounding rocket, making it the first private Indian company to reach space.
Ram Shriram Joins the Board
Beyond the capital infusion, the GIC Sherpalo Ventures funding round brings a significant addition to Skyroot’s board. Ram Shriram, founder of Sherpalo Ventures and a board member of Alphabet Inc, will join the company following the close of the deal.
Shriram said the challenge of accessing space is one of the defining infrastructure problems of the current era and that Skyroot Aerospace’s cost-to-performance proposition in the orbital launch segment is among the strongest in the industry globally.
His involvement adds credibility that goes well beyond the check size. Shriram’s track record of identifying and backing category-defining companies early, most notably Google, makes his endorsement a meaningful signal to the wider investment community about the long-term potential of this India space-tech startup.
India’s Private Space Sector Is Accelerating
The Skyroot Aerospace unicorn milestone is the most prominent data point yet in a broader story about the rapid transformation of India’s private space sector. For decades, the industry was almost entirely the domain of ISRO. Policy reforms introduced after 2019 changed that, allowing private companies to access government infrastructure, pursue commercial contracts, and raise institutional capital.
The results have been tangible. India’s private space sector is currently estimated at $8.4 billion, backed by close to 400 active startups spanning launch systems, satellite manufacturing, propulsion technology, and space electronics. Industry projections suggest the sector could grow four to five times over the coming decade to reach between $40 and $45 billion.
Activity across the ecosystem was on display earlier this month when Bengaluru-based startup GalaxEye successfully launched its earth observation satellite Mission Drishti aboard SpaceX’s Falcon 9 from California, demonstrating that India space-tech startup activity is accelerating across multiple verticals simultaneously.
Retired Lieutenant General AK Bhatt, director general of the Indian Space Association, said the caliber of investors now backing Skyroot Aerospace sends a strong signal to global capital markets about India’s credibility as a serious player in commercial aerospace.
With the Vikram-1 orbital rocket ready for launch, a billion-dollar valuation secured, and institutional backing from three continents, the Skyroot Aerospace unicorn story is no longer just India’s most exciting space narrative. It is the benchmark against which every company operating in India’s private space sector will now be measured.
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