- Growth debt will be invested in
state-of-the-art manufacturing
equipment
required for building launch vehicles in automated series
production -
SAN
FRANCISCO, June 4, 2024 /PRNewswire/ -- ATEL
Ventures, Inc., a division of ATEL Capital Group and a
provider of venture debt financing solutions to growth-stage
companies, today announced the completion of an agreement to
provide $20M of growth debt to Isar
Aerospace, a launch service provider for small and medium-sized
satellites.
Founded and headquartered in Munich,
Germany, Isar Aerospace is developing Spectrum, a two-stage
rocket specifically designed to launch small to medium satellites
and satellite constellations into orbit.
Isar Aerospace is building on a high vertical integration and
uses advanced technologies and a high degree of automation in its
manufacturing, to make access to space more flexible and
cost-efficient. The capital provided by ATEL Ventures will enable
the company to finance the purchase of state-of-the-art equipment
used in the production of its launch vehicles.
Satellites that will be launched by Isar's Spectrum vehicle have
the capacity to bring internet connectivity to rural communities
and those in developing countries—currently around one-third of the
earth's population. They can also enable multiple use cases around
Earth Observation or Navigation. Such satellites will have a key
role in fighting climate change or enabling smart mobility.
Steven Rea, President,
ATEL Ventures said: "Satellites have
enormous potential to improve access to telecommunication, resource
tracking and management, and to help tackle climate change. The
satellite market is expected to be worth $1TN by 2040. Launch is
the key bottleneck in that revolution and we therefore expect Isar
Aerospace to play a major part in it by enabling flexible and
cost-efficient access to space."
David Kownator, Chief Financial Officer, Isar Aerospace said: "Developing a launch
vehicle along the approach of vertical integration requires upfront
investment in specialist equipment. This agreement with ATEL
Ventures is an important component of our financing model,
especially as we are starting the construction of a new large-scale
manufacturing facility."
About ATEL Ventures, Inc.
ATEL Ventures Inc., a
division of ATEL Capital Group, is a leading provider of venture
debt and equipment financing to emerging growth companies. The
company is a primary source of non-dilutive capital across the
landscape of venture capital investments. ATEL Ventures is
industry- and stage-agnostic, having provided capital to companies
in Information Technology, Life Sciences, Energy, Agriculture,
Material Sciences, and Consumer Products and Services. For more
information, visit: https://atelventures.com/ or contact
Steven Rea: srea@atel.com
About Isar Aerospace
Isar Aerospace, based in Ottobrunn/Munich, develops and builds launch vehicles
for transporting small and medium-sized satellites as well as
satellite constellations into Earth's orbit. The company was
founded in 2018 as a spin-off of Technical University Munich. Since
then, it has grown to more than 400 employees from more than 50
nations with many years of hands-on rocket know-how and experience
within other high-tech industries. More information via:
www.isaraerospace.com
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SOURCE ATEL Ventures