TAMPA, Fla. -- The European Investment Bank (EIB) is lending Sateliot 30 million euros ($32 million) to assist the Spanish remote connectivity startup in adding 16 more nanosatellites to its low Earth orbit network by the end of 2025.
Robert de Groot, vice president for the European Union's investment arm, stated on December 4 that the loan emphasizes EIB's commitment to bolstering Europe's strategic autonomy in space and enhancing global connectivity.
Sateliot CEO Jaume Sanpera revealed to SpaceNews that the venture has secured commitments for 45 million euros in a Series B funding round with a target of 70 million euros.
The company previously raised 28 million euros through a combination of debt and equity to develop a constellation compatible with 5G protocols, allowing terrestrial telecom customers to connect with the satellites using mass-market tracking and monitoring devices.
The satellites will collect small data packets from devices and transmit them back to terrestrial networks when within range of ground stations.
SpaceX launched Sateliot's initial four commercial satellites in August, enabling the company to begin generating revenue next year from delay-tolerant clients in sectors such as agriculture and mining.
Sanpera mentioned that the company has signed space-based roaming agreements to expand cellular coverage across more than 50 countries, engaging over 400 companies. These agreements cover nine million devices, representing more than $250 million in annual recurring revenue.
Sateliot has previously indicated a sales pipeline exceeding 1.2 billion euros ($1.3 billion).
Challenges in funding have delayed Sateliot's expansion. After launching two prototypes in 2021, the company aimed to deploy 16 satellites for commercial services by 2022.
In January, Sanpera indicated plans to combine 30 million euros from expected Series B proceeds with project financing debt to deploy a total of 64 satellites within 18 months.
Ultimately, Sateliot plans for a total of 250 satellites to provide near-real-time global services, including messaging directly to smartphones using cellular protocols.
While British small satellite specialist Open Cosmos provided Sateliot's first test satellite, Bulgaria's Endurosat constructed the second. The manufacturer for the remaining satellites has not been disclosed.
The EIB loan is supported by InvestEU, the EU program designed to channel over €372 billion in public and private investment to meet Europe’s policy objectives from 2021 to 2027.
In January, EIB partnered with the European Commission and European Space Agency to enhance financing access for regional space companies, addressing concerns over a potential funding gap that could impede industry growth.