Manastu Space raises ₹22 crore in Series A extension

Funding details

Manastu Space, a Mumbai-based spacetech startup, has secured ₹22 crore ($2.3 million) in an ongoing funding round led by Gandhi Securities and Investments and Thacker Legacy Trusts. The round is described as an extension of its Series A, with participation from a group of angel investors. The startup is also in discussions to raise an additional ₹9.2 crore from Capital A, though this tranche remains unconfirmed.

Government backing and past funding

The Technology Development Board (TDB), a government body under the Department of Science and Technology, has committed ₹116 crore to Manastu Space in the form of optionally convertible debentures. This follows earlier funding rounds where the startup raised $9 million from investors including Capital-A, Capital 2B, Indian Angel Network (IAN), E2MC, and BIG Capital. In August 2025, Manastu closed another $3 million as part of a prior Series A extension.

Technology and market focus

Manastu Space specializes in green propulsion systems for satellites, using a proprietary hydrogen peroxide-based fuel that it claims delivers 50% higher performance than conventional toxic propellants like hydrazine. The startup is also developing in-orbit refuelling systems and debris avoidance technology, which enable satellites to manoeuvre, avoid collisions, and de-orbit at the end of their operational lives. These technologies address critical challenges in the satellite industry, including sustainability and operational longevity.

The startup competes with Bellatrix Aerospace and Dhruva Space in the global satellite propulsion market, which is projected to grow at a 17.6% CAGR to reach $4.7 billion by 2031.

What this means

Lazyfounder analysis — our interpretation, not reported fact.

For founders and operators in the spacetech sector, Manastu Space’s funding round signals growing investor confidence in green propulsion and satellite sustainability technologies. The involvement of government-backed funding—₹116 crore from the Technology Development Board—also highlights the critical role public institutions are playing in India’s spacetech ecosystem. This could encourage more startups to explore government grants and hybrid funding models to scale high-risk, high-reward technologies like in-orbit refuelling and debris mitigation.

The startup’s focus on hydrogen peroxide-based fuel, which promises higher performance and lower environmental harm, sets a benchmark for competitors like Bellatrix Aerospace and Dhruva Space. Founders in this space may need to prioritize R&D for non-toxic alternatives to stay competitive. Additionally, the projected growth of the satellite propulsion market underscores the opportunity for startups that can address sustainability, cost efficiency, and regulatory compliance in satellite operations.

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