Space42, an AI-powered SpaceTech company based in the UAE, adeptly integrates satellite communications, geospatial analytics, and artificial intelligence capabilities with a global reach. Recently listed on the Abu Dhabi Securities Exchange (ADX), the company announced the signing of a $695.5 million Export Credit Agency (ECA)-backed financing facility aimed at funding the development of its next-generation geostationary satellites, Al Yah 4 and Al Yah 5.
Cost-effective solutions
Additionally, this financing represents a significant milestone in Space42’s strategy to establish essential connectivity capabilities across multiple orbits. The facility was arranged by Crédit Agricole CIB, Santander CIB, Societe Generale, and Natixis. It is supported by Bpifrance Assurance Export. The arrangement highlights the company’s ongoing appeal to top international banks. The funding will further support the satellites, which are scheduled for launch in 2027 and 2028. Additionally, the facility provides Space42 with cost-effective, long-term financing. This financing aligns with the company’s satellite development timeline. It also strengthens the company’s liquidity position. This will facilitate future growth initiatives, according to a statement.
“The Al Yah 4 and Al Yah 5 program is underpinned by a 17-year, $5.1 billion government contract commencing in 2026 and advances our goal to become the trusted leader in secure connectivity by providing multi-path critical connectivity solutions,” stated Andrew Cole, chief financial officer of Space42. Cole explained that this strategic pillar is designed to enhance secure communication capabilities. It focuses on both defense and civil domains. This is achieved through multi-orbit satellite networks. These networks will ensure uninterrupted connectivity for mission-critical applications, Cole noted. He also highlighted that the ECA financing structure optimizes funding costs and provides greater financial flexibility to pursue the company’s growth agenda.
Read more: Abu Dhabi’s Space42 launches Thuraya 4 into orbit aboard Space X’s Falcon 9
Advanced satellite capabilities
Moreover, Al Yah 4 and Al Yah 5 boast software-defined architecture with fully flexible payloads that can be reconfigured in orbit. This innovative technology allows for real-time optimization of coverage. It also optimizes bandwidth and frequency allocation. This ensures that the evolving operational requirements are met across the Middle East, Africa, Europe, and Asia.
Furthermore, these satellites will complement and ultimately replace Al Yah 1 and Al Yah 2, which were launched in 2011 and 2012, respectively.
