Sateliot raises €30m loan for satellite IoT

Spanish startup Sateliot has raised €30m from the European Investment Bank to help the rollout of 100 small satellites for the Internet of things (IoT).

This is EIB’s first venture debt operation with a Spanish space company and in satellite communications and is part of the support the EIB is providing to European startups to help them develop cutting-edge space technologies

The constellation of 100 5G narrowband NB-IoT satellites in low earth orbit are intended to connect sensors in rural, oceanic, and other remote areas. Traditional mobile operators will be able to use this service to expand the coverage of their ground-based IoT networks to previously unserved areas. Last month the company announced funding of €10m to boost the rollout after the launch of the first four.

 “This loan shows the EIB’s commitment to innovation and development in the European space sector, thereby supporting the digital transition and contributing to the European Union’s strategic autonomy in areas of space and global connectivity in the context of the EIB Strategic European Security Initiative,” said EIB Vice-President, Robert de Groot.

“This EIB backing – together with the support that Sateliot has already received from major investor groups and other banks and institutions – gives a huge boost to our development. This capital will be used to move forward with the next stage of our constellation and comes in addition to the income we will begin to receive in 2025 when the four satellites we already have in orbit enter commercial service,” added Jaume Sanpera, CEO and co-founder of Sateliot in Barcelona.

The European Investment Fund (EIF) has launched several initiatives such as the InnovFin Space Equity Pilot and CASSINI to back venture capital funds investing in early-stage European space companies, and the EIB is currently ramping up its venture debt and scale-up financing support for space companies. This includes €90m for other satellite companies who are not in the communications market including Spire Global, D-Orbit, EnduroSat, Kayrros, Gomspace and LeafSpace.

Earlier this year the EIB, the European Space Agency (ESA) and the European Commission signed an agreement to strengthen their cooperation in satellite and other space technologies. The operation contributes also to the EIB Strategic European Security Initiative (SESI).

sateliot.space