‘Wright Brothers moment’ for spaceflight
New Zealand-dutch space pioneer Dawn Aerospace has raised $20 million from investors in its latest round of fundraising. Icehouse Ventures has invested about $10m, one of its largest-ever investments in a New Zealand company. Dawn, which has also attracted support from GD1 and Movac and says it has a value of $170m, makes propulsion technology for satellites, with its systems on eight operational spacecraft for overseas customers.
It is also flight-testing a reusable spaceplane technology demonstrator, the Dawn MK-II Aurora, in the South Island.
The $20m will allow the company, based in New Zealand, the Netherlands, and the US, to expand both its satellite propulsion systems and spaceplane development. Propulsion units have launched on Spacex, Soyuz and Vega launchers.
To date, the MK-II has operated using jet engines — rocket-powered flight is expected to start in the first quarter of next year.
Phase one testing demonstrated all non-rocket systems on the spaceplane, such as low-speed aerodynamic performance, pilot controllability, reliability, and general airworthiness. The spaceplane was flown as fast as 200 knots (370km/ h) and at an altitude of 2.743km. It has completed around 50 flights since last year. In phase two of the test programme, the MK-II Aurora will be fitted with a rocket motor which will allow for flights to over 100-km altitude and 3500km/h.
If achieved, the company says it would be the first vehicle ever to reach space twice in a day, which cofounder and chief executive Stefan Powell has described as a “Wright Brothers moment” for reusable spaceflight.
The MK-II is intended to prove the core technology needed for a fully and rapidly reusable first-stage booster.
Once the MK-II Aurora is proven under rocket power, a much larger MK-III vehicle will be built, with the capability to deliver a 250-kg satellite into orbit using a second stage, released at high altitude.
The latest round of funding will take the company through to the end of design work for the MK-III in about 18 months.
Icehouse Ventures chief executive Robbie Paul said thousands of space tech companies have raised billions of dollars, yet very few have been to space or generated revenue.
“The traction continues to widen their competitive moat and that’s why we’ve invested $10m in this round.”
James Powell, Dawn co-founder and chief financial officer, said the company had placed strategic importance on getting to customer revenue — with hardware in orbit.
“With $22m of deals closed in 2022 and another $150m in negotiation, it won’t be long until propulsion sales resume bringing in more cash than VC [venture capital].”
As a result of the raise, a new board seat has been established, to be filled by Anna Kominik, former Wisk Asia Pacific director and a former director of the Vertical Flight Society International Board.
Earlier this year, Dawn relocated its New Zealand-based operations to a larger facility in Christchurch — an 1800sq m workshop and office space where about 60 staff work.
Icehouse Ventures has over $500m in assets under management. It invests from $100,000 in the first round to $5m-plus in later rounds.