Astrophel Aerospace, a Pune-based deep-tech space startup, has raised INR 6.84 Crore (USD 800,000) in a pre-seed funding round led by a consortium of angel investors and venture firms. The funds will be used to develop a reusable semi-cryogenic launch vehicle and scale the company's R&D to create missile-grade guidance systems and components. Astrophel Aerospace aims to have a working prototype ready for testing within 24 to 36 months.This funding comes at a pivotal moment, with India’s space sector poised for growth due to the Gaganyaan mission, Axiom-4, and the upcoming Space Activities Bill, which are set to open doors for private space innovation. Astrophel Aerospace stands out as one of the few private startups in India to successfully test-fire a semi-cryogenic engine, having achieved this milestone with just INR 6 Lakh (USD 7,000) in funding prior to this round.The company follows a modular, systems-first approach, drawing from best practices in the automotive industry to build its Potentia C1U engine. In addition, it has signed an MoU with ISRO for collaborative research and testing. According to IN-SPACe, India’s space economy is expected to expand from USD 8.4 billion in 2022 to USD 44 billion by 2033, with over 8,500 small satellites projected to be launched globally in the next decade.Suyash Bafna, Co-founder of Astrophel Aerospace, stated, “India’s private space sector is ready to address complex challenges in aerospace. Our reusable systems and precision components will reduce costs and open up new possibilities for space access in India.”Astrophel Aerospace is also collaborating with a listed Indian manufacturer to co-produce cryogenic valves, which will serve both commercial and defence applications. With India’s space startup ecosystem rapidly growing, the company is well-positioned to capitalise on favourable policy reforms.Immanuel Louis, Co-founder of Astrophel Aerospace, added, “Developing reusable rockets, turbopump-fed engines, and missile-grade guidance systems are some of the toughest aerospace challenges. This funding will help us dive deep into development while maintaining our lean, execution-focused approach.”With its first suborbital launch on the horizon, Astrophel Aerospace is positioning itself as a leading propulsion and launch infrastructure company, contributing to India’s growing space aspirations.