Bengaluru-based defence start-up NewSpace raised $3.21 million ( Rs 26.6 crore) in a pre-Series B funding round led by its existing investor QRG Investments and Holdings, Entrackr reported. 

The investment round witnessed the participation of Ahmed Ali Husain Nalwala and Dharampal Satyapal Limited ( DS Group). QRG invested Rs 11.86 crore and Ahmed Ali and DS Group invested Rs 10 crore and Rs 2.96 crore. The rest of the money was infused by Preety Daljeet Singh, Santosh Daljeet, Greentech Power Private Limited and Anurag Bhatnagar. 

This has been the second fundraising round in 2022 for the company. Prior to this, it raised $21 million in February in a Series A funding round. 

Till date, it has bagged $33 million since its inception in 2018. 

The start-up will utilise the fund for capital expenditure and corporate purposes. 

The RoC ( Register of Companies) filings stated that the administrative board passed a special resolution to issue 3,50,912 pre-Series B shares to raise the entire amount. 

The latest funding round valued the company at $87 million ( Rs 717 crore). 

The start-up has gone through a rough patch in this financial year due to its zero operational revenues compared to Rs 15.5 crore in FY 21. Additionally, it booked a loss of Rs 19 crore compared to Rs 1.75 crore profit in the previous year. 

Founded in 2018 by Sameer Joshi, NewSpace is known for designing drones for earth observation and communications. In September, the company secured two deals with the Indian army of over Rs 200 crore.