Chinese launch startup Space Epoch (Sepoch) has topped up its Series B round to roughly RMB 2.3 billion (about $320 million) over the past six months, according to fundraising disclosures aggregated on September 16, 2026. The extension is anchored by IDG Capital, alongside Chaos Investment, Hangzhou Capital and Songyuan Venture Capital, and pushes the company toward a maiden orbital flight and sea-based recovery of its Yuanxingzhe-1 rocket before the end of 2026.
Stainless Steel, Methane And A Boat
Yuanxingzhe-1 (YXZ-1) is a stainless-steel, liquid-oxygen-and-methane reusable rocket that Space Epoch has been quietly maturing at its coastal facility in Shandong. The Hiker-1 verification article completed a 125-second, 2.5-kilometre vertical takeoff and vertical landing test over the sea in May 2025, becoming the first Chinese liquid-propellant rocket to demonstrate a controlled ocean splashdown recovery.
The B++ tranche is earmarked for finalising Yuanxingzhe-1’s first-stage engines, expanding the sea-recovery platform and building out mission operations for a commercial cadence that Space Epoch says can eventually rival SpaceX’s Falcon 9 economics.
IDG Capital Doubles Down On Chinese Launch
Long-time backer IDG Capital led the fresh capital, signalling continued institutional appetite for domestic launch capacity as Chinese satellite constellations scale up. The round follows a February 2026 Series B initial close covered by SpaceNews and lands weeks after the Vega-C’s Sentinel-3C and FLEX success underlined how competitive the launch market has become.
Race To First Chinese Reusable Orbital Recovery
Space Epoch is one of several Chinese startups — alongside iSpace, LandSpace and Deep Blue Aerospace — racing to demonstrate a reusable orbital first stage. A successful late-2026 flight would put China within striking distance of SpaceX-style operational recovery, a milestone with implications for launch pricing, satellite deployment and defense logistics. It also complements the wider deep-tech capex cycle reflected in deals like EUCLYD’s \$231M Series A.
Reporting based on coverage from Tech Startups, SpaceNews and CnTechPost.