Business

Space42 Secures $695.5 Million Funding for New Satellites

Space42, the UAE-based AI-powered SpaceTech company that seamlessly integrates satellite communications, geospatial analytics, and artificial intelligence capabilities with global reach, and listed on the Abu Dhabi Securities Exchange (ADX), on Wednesday said that it has signed a $695.5 million Export Credit Agency (ECA)-backed financing facility to fund the development of its next-generation geostationary satellites, Al Yah 4 and Al Yah 5.

The financing represents a pivotal step in Space42’s strategy to establish critical connectivity capabilities across multiple orbits, Space42 said in a statement.

The facility, arranged by Crédit Agricole CIB, Santander CIB, Societe Generale, and Natixis and backed by Bpifrance Assurance Export, demonstrates the company’s continued appeal to leading international banks and will fund the satellites scheduled for launch in 2027 and 2028.

The facility provides Space42 with cost-effective, long-term financing aligned with its satellite development timeline, whilst strengthening the company’s liquidity position to support future growth initiatives.

Space42’s Chief Financial Officer Andrew Cole said that the Al Yah 4 and Al Yah 5 program was underpinned by a 17-year, $5.1 Billion government contract commencing in 2026 and advance its goal to become the trusted leader in secure connectivity by providing multi-path critical connectivity solutions.

“This strategic pillar focuses on enhancing secure communication capabilities across defense and civil domains through multi-orbit satellite networks that ensure uninterrupted connectivity for mission-critical applications. The ECA financing structure optimises our cost of funding and provides increased financial flexibility to execute our growth agenda,” he said.

Advanced Satellite Capabilities

Al Yah 4 and Al Yah 5 feature software-defined architecture with fully flexible payloads that can be reconfigured in orbit. This technology enables real-time optimisation of coverage, bandwidth, and frequency allocation to meet evolving operational requirements across the Middle East, Africa, Europe, and Asia.

The satellites will complement and eventually replace Al Yah 1 and Al Yah 2, launched in 2011 and 2012 respectively.

Space42 is an AI-powered SpaceTech company that integrates satellite communications, geospatial analytics and artificial intelligence capabilities to enlighten the Earth from space. Formed in 2024 by the successful merger of Bayanat and Yahsat, Space42’s global reach allows it to address the rapidly evolving needs of its customers in governments, enterprises, and communities.

Space42 comprises two business units: Yahsat Space Services and Bayanat Smart Solutions. Yahsat Space Services focuses on upstream satellite operations for both fixed and mobility satellite services. Bayanat Smart Solutions integrates geospatial data acquisition and processing with AI to inform decision-making, enhance situational awareness, and improve operational efficiency. Major shareholders include G42, Mubadala, and IHC.

Global Business Magazine

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