19th Dec 2025 11:20
(Alliance News) - Seraphim Space Investment Trust PLC on Friday noted that its largest holding, ICEYE Oy, and joint venture partner Rheinmetall AG, have secured a EUR1.7 billion contract with the Germany army.
The London-based investor in space technology sees the deal as validation of its exposure to ICEYE, which comprised just under 35% of the firm's net asset value at the end of September.
A EUR150 million Series A fundraise had valued ICEYE at EUR2.4 billion, as of September 30.
SSIT shares rose 5.0% to 100.00 pence on Friday morning in London. Rheinmetall was down 0.2% at EUR1,547.50 in Frankfurt.
Espoo, Finland-based ICEYE claims to own "the world's largest" constellation of synthetic aperture radar satellites.
Early last month, it formed Rheinmetall ICEYE Space Solutions GmbH, a joint venture with the Dusseldorf, Germany-based defence contractor, focused on space reconnaissance.
ICEYE and Rheinmetall own 40% and 60% respectively of the new company, headquartered in the German city of Neuss.
The tie-up was announced back in May, with Rheinmetall noting in November that it was "already providing reconnaissance images for Ukraine's defence against the Russian aggressor."
On Thursday, Rheinmetall reported a EUR1.7 billion deal, under which Rheinmetall ICEYE will provide the German armed forces with space-based reconnaisance data via exclusive access to its SAR satellite network.
The data will be used to protect Germany's Lithuania brigade and NATO's eastern flank, according to Rheinmetall.
Currently running from the end of 2025 to the end of 2030, the deal has an extension option, with Rheinmetall ICEYE aiming to start satellite production in the third quarter of 2026.
James Bruegger, Chief Investment Officer of Seraphim Space Manager LLP, said: "This landmark contract reinforces ICEYE as the global leader in sovereign space-based intelligence and highlights a major shift in defence strategy by European governments from reliance on legacy systems to resilient, AI-enabled satellite constellations.
"This agreement reinforces SSIT's conviction that companies delivering low-cost, high-resolution satellite-based intelligence gathering capabilities, combined with rapid production and advanced analytics, are driving a surge in demand and creating sustained growth opportunities across our portfolio."
By Holly Munks, Alliance News reporter
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