14-05-2025
Welsh in-space advanced manufacturing start-up Space Forge in huge funding boost
Welsh in-space advanced manufacturing start-up Space Forge in huge funding boost
In one of the biggest funding rounds for a Welsh start-up firm Space Forge has secured £22.6m from a global consortium of investors.
Space Forge.
Cardiff-based Space Forge, which is pioneering advanced material in space manufacturing such as compound semiconductors via its returnable satellite technology, has a secured £22.6m investment to support its commercialisation plans.
In the biggest ever Series A fundraising round in the UK space tech sector, and one of the biggest for a Welsh start-up, Space Forge has been backed by a strategic global consortium led by the NATO Innovation Fund, with significant support from the World Fund, the National Security Strategic Investment Fund (NSSIF) and £2m from British Business Bank through its regional angels programme.
The round has also been supported by the Cardiff Capital Region's £50m Innovation Investment Capital fund.
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By harnessing the unique conditions of space-including microgravity, vacuum, and extreme temperature differentials-Space Forge, which employs 70 in Cardiff at Eastgate Business Park and also has a presence in Florida, is unlocking the ability to manufacture materials that are impossible to produce on earth.
These advancements have wide-reaching applications in compound semiconductors, quantum computing, clean energy, and defence technologies.
Research suggests space-made materials could cut CO₂ emissions by 75% and energy use by 60% in key infrastructure, offering a powerful tool for strengthening climate resilience.
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The latest investment will accelerate the development of the firm's ForgeStar-2 next-generation returnable manufacturing satellite while also supporting its first in-orbit demonstration mission, ForgeStar-1, set to launch later this year in Florida.
Together, these missions will demonstrate a scalable, reusable platform for manufacturing high-performance materials in space-delivering breakthroughs for security, clean energy and infrastructure.
The technology offers a promising pathway to strengthen supply chains for semiconductor production, reducing dependence on vulnerable earth-based manufacturing systems.
Joshua Western, chief executive and co-founder, Space Forge, said: 'This funding marks a significant milestone-not just for Space Forge, but for the entire space economy. With the backing of our investors, we're accelerating our mission to make space a practical and accessible platform for industrial-scale manufacturing.
"Our upcoming launches will prove that the future of materials innovation lies beyond earth, helping us build a more secure, sustainable, and technologically advanced world.'
The value of the equity investment by the Cardiff Capital Region in supporting the round has not been disclosed. Its investment is the fourth from the fund which is managed by Capricorn Fund Managers with PwC providing on investment research and sourcing.
Leader of Cardiff Council and vice chair of the Cardiff Capital Region - a statutory body covering the 10 local authorities of south-east Wales - Huw Thomas, said: 'CCR is proud to help fund Space Forge's next steps in on-earth and in-orbit advanced manufacturing.
"Their trailblazing approach in the space industry is gaining interest and investment in a highly competitive tech sector and it's very encouraging to see a local pioneering company on a global stage.'
Dr Paul Bate, chief executive of the UK Space Agency, said: 'This landmark investment in Space Forge is a powerful vote of confidence in the UK's growing space economy and its global leadership in space-enabled innovation. Based in Cardiff Space Forge exemplifies how cutting-edge space technology is thriving across all corners of the UK.
"By transforming the way we manufacture high-performance materials, Space Forge is not only pushing the boundaries of what's possible in orbit, but will also deliver real-world benefits on earth — from cleaner energy to more secure supply chains. We're proud to support pioneering companies like Space Forge as they grow and help secure the UK's position at the forefront of the space and semiconductor sectors.'
The calibre of investors backing this round reflects Space Forge's growing importance in advancing secure, sustainable technologies - across defence, aerospace, and clean tech sectors globally.
Chris O'Connor, partner, NATO Innovation Fund, said: 'We are excited to be supporting Space Forge – a company that is innovating material manufacturing, while also advancing Europe's access to space, supply chain independence and long-term resiliency. We look forward to working with the Space Forge team to leverage their technological breakthroughs in order to secure the future of NATO nations.'
Daria Saharova, general partner at World Fund, said 'Demand for computing power is doubling every two months. Europe imports 80% of its chip supply, with 90% of the world's most-advanced semiconductors coming from Taiwan. A geopolitical escalation there could have catastrophic consequences for Europe. We urgently need a resilient, homegrown supply of the next-generation supermaterials required for the future of compute. We also need this homegrown chip supply to be produced sustainably.
Industry Minister Sarah Jones said: 'This is great news for the UK's space industry, and a vote of confidence in the cutting-edge advanced manufacturing technology Space Forge is pioneering in Wales.
"Our modern industrial strategy will drive growth in these sectors even further, giving businesses the confidence they need to commit to investing in the UK and ensuring we remain a partner of choice for space agencies around the world.'
Mark Barry, senior investment director at British Business Bank, said: 'We are delighted to make this first investment under the new co-investment strategy as part of the regional angels programme.
The investment into Space Forge aligns with our overall programme goal to strengthen the UK's regional economy by supporting high-growth businesses, and to leverage the commercial potential from our existing portfolio. We first backed Space Forge through a partner back in 2021 and under Josh's leadership, the company is delivering on its mission to be the in-space manufacturer of choice.'
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The round has also been supported by Gaingels, SpaceVC, Unruly, with additional contributions from Helium Three, Stellar and TypeOne, and London Technology Club.
