Varda Space is aiming to redefine how pharmaceuticals are made—by taking production off Earth. The startup has secured a substantial $187 million Series C funding round to accelerate its bold vision of orbital drug manufacturing, leveraging the unique benefits of microgravity to improve the purity and performance of critical biologic compounds.
The company plans to use the funding to build a 10,000-square-foot laboratory in El Segundo, California. This new facility will help Varda’s scientists identify which drug components, like proteins and antibodies, are best suited for crystallization in space—an essential part of the drug-making process that can be hindered by Earth’s gravity.
From Lab Bench to Orbit
According to Varda Space co-founder Delian Asparouhov, the lab will allow the company to simulate and fine-tune the exact conditions—like temperature and pressure—that specific biologics need for optimal crystallization. That way, when the materials are launched into orbit aboard Varda’s spacecraft, the process can be automated and controlled with precision.
“The company can go and do process engineering to understand at what temperatures and what conditions do the biologics crystallize ahead of time, so that when we get up in orbit the bioreactor knows what to do,” Asparouhov told TechCrunch.
Varda Space is already in talks with major pharmaceutical manufacturers to address complex formulation challenges like drug purity, shelf life, and stability. The end goal: not just better-performing drugs, but a portfolio of valuable intellectual property that Varda can license back to these companies.
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A Growing Launch Cadence—and a Military Use Case
The Series C round was led by Natural Capital and Shrug Capital, with participation from high-profile backers including Peter Thiel, Lux Capital, Khosla Ventures, and Caffeinated Capital. Asparouhov, a partner at Founders Fund and former principal at Khosla, has helped shape the company’s strategic trajectory since its inception.
Varda has already flown and returned three orbital manufacturing missions since 2023 and is planning four more in 2025. While earlier missions used Rocket Lab-built spacecraft, Varda has since brought spacecraft production in-house and expects to double its build rate next year.
In addition to pharmaceutical applications, Varda is monetizing its hardware by offering hypersonic flight testing capabilities for the U.S. Department of Defense—a fast, cost-effective alternative to traditional military testing programs.
With its combination of aerospace engineering, pharmaceutical innovation, and government partnerships, Varda Space is positioning itself at the frontier of orbital biotech manufacturing.
