Axelspace satellite buses. Photo: Axelspace

Japanese satellite company Axelspace raised $44 million in a Series D funding round, the company announced Dec. 20. Axelspace, based in Tokyo, has an Earth observation (EO) business and manufactures microsatellites as well. The company said it will use the funds to improve its EO business by expanding its five-satellite constellation. The company also plans to provide full-scale microsatellite development services to public and private sectors and build an optical data relay satellite constellation. 

Yuya Nakamura, President and CEO of Axelspace Holdings, said the company hopes to build on the business foundations for the AxelGlobe EO business and AxelLiner microsatellite manufacturing business and become a provider of comprehensive microsatellite solutions. 

“We would like to express our gratitude to the investors who, despite challenging market conditions, have decided to invest in us, demonstrating confidence in our future business growth,” Nakamura said. 

Sumitomo Mitsui Banking Corporation / SMBC Venture Capital Management Co., Ltd. / Global Brain Corporation led the funding round, which included a number of other investors including Mitsui Fudosan Co.; Yamato Holdings Co; and Epson X Investment Corporation. Axelspace, which was founded 15 years ago, has raised a total of 14.3 billion Japanese yen ($100 million). 

“We have decided to invest in the space industry, a new growth engine for Japan, and specifically in Axelspace. We are impressed by its achievement in pioneering the space industry and hold high expectations for their future global contributions as a satellite manufacturer and a data service provider,” commented Jun Takahashi, president of SMBC Venture Capital Management Co., Ltd.