Relativity Area brings in $ 500 million, based on sources, on a $ 2 billion valuation by Tiger and others
Relativity Space's third generation 3D printer in its new headquarters. CEO Tim Ellis is ready to scale.
Rocket builder and 3D printing specialist Relativity Space is raising $ 500 million in fresh capital in a new round led by Tiger Global Management, people familiar with the financing told CNBC on Tuesday.
The new fundraiser, which is expected to complete in the coming days, would raise Relativity's valuation to $ 2.3 billion, these people said. In addition to Tiger Global, Fidelity is also joining the group as a new relativity investor. Existing relativity investors are also expected to contribute – including Social Capital, Playground Global, Y Combinator, Bond Capital, Registered Capital, Jared Leto and Mark Cuban.
Tiger Global, the hedge fund of investor Chase Coleman, manages more than $ 40 billion in assets.
The theory of relativity declined CNBC's request for comment.
The relativity space performs a print test of a 3D printed tank.
The company is building the first iteration of its Terran 1 rocket. Unlike other rockets, Relativity uses multiple 3D printers, all of which were developed in-house to build Terran 1. The rocket is designed so that around 95% of its parts are 3D printed, which makes the relativity rocket less complex. and faster to build or modify than traditional missiles. According to Relativity, the simpler process will be able to convert raw material into a rocket on the launchpad in less than 60 days.
Relativity has made significant advances in the development and testing of its 3D printing technology this year. More than 400 tests of the Aeon 1 rocket engine were conducted at NASA's Stennis Space Center in Mississippi.
The company also moved to new headquarters in Long Beach, California this summer.
Relativity's new valuation is expected to make it one of the most valuable private space companies in the world after SpaceX, which has a valuation of over $ 44 billion after raising capital in August.
An artist rendering of Relativity's Terran 1 rocket on the Cape Canaveral LC-16 launch pad in Florida.
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