UK-based propulsion system developer Reaction Engines raised $37.3m yesterday in a round that included engine and car producer Rolls-Royce and aerospace companies Boeing and BAE Systems.
Investment managers Baillie Gifford Asset Management and Woodford Investment Management also took part in the round, while Boeing invested through its strategic investment arm, Boeing HorizonX Ventures.
Reaction is developing an engine called Sabre which will make use of jet and rocket technologies in a bid to combine the power and speed of a rocket with the fuel efficiency of a jet engine. It is intended for use in both aircraft and spacecraft.
BAE had previously invested $30.8m in Reaction in 2015 as part of a collaboration deal that involved the companies collaborating on the development of Sabre.
Boeing HorizonX vice-president Steve Nordlund said: “As Reaction Engines unlocks advanced propulsion that could change the future of air and space travel, we expect to leverage their revolutionary technology to support Boeing’s pursuit of hypersonic flight.”
Reaction, which has received some £60m ($85m at current rates) in grant funding from the UK government, said it plans to increase the size of the round by raising additional funds from financial institutions and its existing backers.
The capital will help Reaction move towards the commercialisation of its technology as it prepares to ground-test Sabre in 2020.