Rolls-Royce announces it is investing in Reaction Engines Limited, the UK-based aerospace technology company. The investment is part of a strategic fundraising by Reaction Engines which will support the further development of the SABRE concept, which combines air breathing rocket and associated technologies.

Paul Stein, Chief Technology Officer, Rolls-Royce said: "We are delighted to become a strategic investor in Reaction Engines Limited, an innovative UK company that is helping push the boundaries of aviation technology."

"Rolls-Royce is increasingly pioneering new technologies through partnership and collaboration. We look forward to working with Reaction Engines and assisting with the development of their technology, and we plan to incorporate this technology into future products."

The investment, financial details of which are not being disclosed, will take the form of a subscription for new shares, which is subject to the approval of existing shareholders.