TLDR:
- ATEL Ventures, Inc. provides $20M in growth debt to Isar Aerospace for manufacturing equipment.
- Isar Aerospace is developing a two-stage rocket to launch small to medium satellites into orbit.
ATEL Ventures, Inc. has announced that they are providing $20M in growth debt to Isar Aerospace, a launch service provider for small and medium-sized satellites. The funding will be used to invest in state-of-the-art manufacturing equipment required for building launch vehicles in automated series production. Isar Aerospace, headquartered in Munich, Germany, is developing the Spectrum, a two-stage rocket specifically designed for satellite launches. The company utilizes advanced technologies and a high degree of automation in its manufacturing process to make access to space more flexible and cost-efficient. The capital provided by ATEL Ventures will enable Isar Aerospace to finance the purchase of specialized equipment needed for the production of its launch vehicles. These satellites have the potential to bring internet connectivity to rural communities and developing countries, as well as support various use cases like Earth Observation or Navigation, contributing to climate change efforts and enabling smart mobility. Steven Rea, President of ATEL Ventures, highlighted the significant role satellites can play in improving telecommunications and tackling climate change. He emphasized the $1 trillion projected value of the satellite market by 2040 and the importance of efficient access to space. David Kownator, CFO of Isar Aerospace, expressed the importance of upfront investment in specialist equipment for developing a launch vehicle with a vertical integration approach. The agreement with ATEL Ventures will support the company as they begin constructing a new large-scale manufacturing facility. ATEL Ventures, Inc. is known for providing venture debt and equipment financing to emerging growth companies, while Isar Aerospace specializes in building launch vehicles for small to medium-sized satellites and constellations.
