Varda Raises $251 Million to Scale In-Space Pharmaceutical Manufacturing

Varda Space Industries has raised $251 million in a Series D funding round to expand its in-space pharmaceutical manufacturing operations.

The round was led by Lux Capital and Natural Capital, with participation from Founders Fund, Khosla Ventures, Caffeinated Capital, General Catalyst, 8090 Industries, Giant Steps Capital and Also Capital, bringing Varda’s total funding to $598 million.

Varda is developing spacecraft that use microgravity to process pharmaceutical materials and produce drug formulations that may not be achievable under Earth’s gravity.

The company plans to make pharmaceutical products in orbit and return them to Earth for use, with the goal of integrating space-based manufacturing into conventional drug development and production.

The company has completed six successful reentry missions since its first launch in 2023 and plans more than a dozen additional launches and reentries through 2028.

Its W-Series spacecraft are designed to manufacture and process materials in orbit before returning them to Earth, with the vehicles reaching approximately Mach 25 during atmospheric reentry.

Varda co-founder and President Delian Asparouhov said the company was founded around the expectation that pharmaceuticals would be among the first products manufactured in space and used on Earth. He said the new funding will support higher flight cadence and expanded pharmaceutical partnerships.

Lux Capital Partner Shahin Farshchi similarly highlighted Varda’s combination of launch, reentry and pharmaceutical capabilities as the company works toward regular commercial production.

Image Credits: Varda Space Industries