European space startup The Exploration Company, or TEC, has successfully raised $160 million to spur the development of its reusable spacecraft, Nyx, which will be used in its next-generation capsule designed for sending astronauts and cargo to and from space stations.

Balderton Capital and Plural have led the funding round, joined by other investment vehicles supported by French and German governments, including French Tech Souveraineté and the DeepTech & Climate Fonds.

TEC’s flagship product, Nyx, is a reusable capsule, capable of being launched aboard rockets to carry passengers and cargo into space. The capsule is designed to re-enter Earth’s atmosphere after completing its mission, which makes it suitable for multiple flights-the main principle in line with growing demand and requirements for sustainable and cost-effective travel space.

Hélène Huby, TEC’s founder and CEO, emphasized the expanding market for space missions, citing increasing interest from nations looking to send astronauts to space stations and explore the Moon.

“The space sector is growing at more than 10% annually, and we believe there is a pressing need for alternative solutions beyond SpaceX,” Huby told in an interview.

TEC is positioning itself as a European alternative to SpaceX’s Dragon capsule, which currently dominates the market. The company’s ambition is to provide a reliable, reusable transport vehicle for both cargo and crew, particularly for upcoming projects such as NASA’s Gateway lunar space station.

The company is also focused on developing the second version of Nyx, slated for launch in 2025, with a final model planned for 2028. TEC has already secured $800 million in contracts, including partnerships with Starlab and Axiom Space, highlighting strong demand for its spacecraft.

With increasing space exploration activity from the U.S., China, and India, TEC aims to play a pivotal role in shaping the future of space logistics and transport, especially as missions around the Earth and Moon intensify.