Fidelity in Talks to Back Relativity Space at $4.1 Billion Value

(Bloomberg) -- Relativity Space Inc., a maker of 3D-printed rockets, is in talks to raise $600 million in a funding round led by Fidelity Management & Research Co., according to people with knowledge of the matter.

The round is set to value the startup at about $4.1 billion, said one of the people, who asked not to be identified because the talks are private. Terms aren’t finalized and it’s possible they could change.

“We have always kept dialogue open with investors, and the enthusiasm for space technology has been incredible for the overall industry,” a Relativity Space spokesman said in a statement, declining to comment further. Fidelity declined to comment.

Relativity, based in Long Beach, California, said in November it raised $500 million in a funding round led by Tiger Global Management, confirming an earlier Bloomberg News report. Fidelity also participated in that round, as did new backers Baillie Gifford, Iconiq Capital, XN, General Catalyst, Senator Investment Group and Elad Gil. The company’s earlier backers include Bond, Tribe Capital, K5 Global, 3L, Playground Global, billionaire Mark Cuban, Spencer Rascoff, and Allen & Co.

“We are on track to launch our first Terran 1 rocket to orbit next year,” co-founder and Chief Executive Officer Tim Ellis said at the time. He has described the launch of its entirely 3D-printed rocket as a “first step” in a long-term vision to facilitate life on Mars.

In March, the company said it had been awarded its first orbital launch contract with the U.S. Department of Defense, facilitated by the Defense Innovation Unit.

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