Varda Space Secures $187 Million to Advance Drug Development in Space
Space start-up, Varda Space Industries, announced the completion of a Series C fundraising round on Thursday, July 10th, increasing its total capital raised to $329 million. The most recent round, totaling $187 million, was led by Natural Capital and Shrug Capital, with additional participation from Founders Fund, Peter Thiel, Khosla Ventures, Caffeinated Capital, Lux Capital, and Also Capital.
Varda's primary mission is to launch and return pharmaceuticals produced in space. The microgravity environment enables the crystallization of substances such as pharmaceutical ingredients in ways not possible on Earth, facilitating the creation of novel drug formulations. Varda’s orbital laboratories represent the first commercial processing of materials outside the International Space Station, marking significant progress in the expansion of commercial activities in low Earth orbit. “With this capital, Varda will continue to increase our flight cadence and develop the pharmaceutical laboratory to deliver the world’s first microgravity-enabled drug formulation,” stated CEO Will Bruey.
Beyond its primary life sciences focus, Varda is developing a hypersonic testbed in collaboration with government partners, utilizing the W-series reentry vehicle to advance testing of emerging technologies. The reentry capsules achieve speeds up to Mach 25 during atmospheric reentry, providing valuable conditions for the assessment of thermal protection systems, navigation, communication, and sensor technologies.
Varda recently opened an office in Huntsville, Alabama, and a new 10,000-square-foot laboratory in El Segundo. This facility will enable pharmaceutical scientists to develop processes for crystallizing biologics, including monoclonal antibodies, a market valued at $210.06 billion as of 2022. “Our new laboratory represents an investment in the future of in-space pharmaceutical manufacturing, which we believe will underpin the orbital economy,” said Chief Science Officer Adrian Radocea. “By expanding our facilities, we can support work on more complex molecules and improve our production cadence to meet industry expectations.” Varda has assembled a distinguished pharmaceuticals team for its El Segundo lab, comprising structural biologists and crystallization experts with substantial experience from leading pharmaceutical companies.
Since initiating its first mission, W-1, in 2023, Varda has executed three successful launch and return operations. Its fourth mission, W-4, is currently in orbit, with a fifth scheduled for later this year. “Through multiple missions, the Varda team has demonstrated repeatable orbital-reentry capabilities, attracted significant interest from the Department of Defense, and is now leveraging that momentum into establishing a world-class crystallization laboratory poised to unlock microgravity manufacturing for transformative medicines and other high-value materials,” commented Ravi Tanuku, General Partner at Natural Capital and Varda Board member. “We are pleased to support Varda’s ambitious vision.”