Rendering of Sierra Space’s Velocity satellite bus
Credit: Sierra Space
Sierra Space is expanding its satellite offering as it prepares for the first flight of its spaceplane and an initial public offering as early as next year.
Ahead of the long-awaited solar eclipse, the commercial space unicorn unveiled its aptly named “Eclipse” line of satellite buses (the main structure of the satellite), which will carry out a wide range of missions in orbits ranging from low-Earth to the moon-stars. .
“Actually, I’ve been waiting for six months, so this is what it feels like.” [name]”We really thought about it, and we think this name is very appropriate,” Sierra Space CEO Tom Bice said in an interview on CNBC’s “Manifest Space” podcast. Because I think it’s going to change everything in terms of affordability.” Next generation bus for next generation satellites. ”
Sierra Space, valued at $5.3 billion as of September, was spun out from defense contractor Sierra Nevada Corp. three years ago. The independent subsidiary, which promotes 30 years of spaceflight heritage, was the result of an ambitious early bet by SNC billionaires Fatih and Eren Ozmen.
Sierra Space touts a diverse space and defense technology portfolio spanning space transportation, space habitation, propulsion and satellites. Perhaps best known is Dream Chaser, a reusable spaceplane contracted by NASA to carry out resupply missions to the International Space Station and, ultimately, to carry humans into and out of orbit. intend to do something.
It is also working on a commercial space station, Orbital Reef, called Jeff Bezos’ Blue Origin, and in January announced a $740 million deal to develop a constellation of missile-tracking satellites for the United States. We have a Department of Defense contract to collect them.
Eclipse’s products move Eclipse further into the spacecraft subsystems business.
Regarding Dream Chaser, Vice said he is “very confident” that its first flight will occur in the fourth quarter of this year. He added that the spaceplane passed its first stage of environmental testing in March, and since this first demonstration will deliver cargo to the ISS, the company is relying on NASA’s manifest and will be ready for re-entry. He said he is working with the FAA to obtain permits.
An artist’s rendering of Sierra Space’s Dream Chaser spaceplane in this undated handout obtained March 25, 2022.
Sierra Space | via Reuters
“Dream Chaser is also a vehicle that will spend a year in orbit and double as an orbiting space station for microgravity research,” said Vice, adding that the research and development he and the company are betting will be possible in low Earth orbit. said about manufacturing opportunities. Provides a business case for spaceplanes and their space habitats.
Sierra Space has identified four areas where it believes microgravity could disrupt industries on Earth: stem cells, oncology, vaccines, and industrial glass. Together, these markets will reach $900 billion in 2022 and are on track to reach about $3.7 trillion by 2038, according to Vice.
“We’re finding that we can do fundamentally different things in terms of protein crystallization and actually produce better drugs. So we actually think this is a huge market for us. ” he said.
Sierra’s near-term focus is on completing a Series B financing round to raise funds for potential acquisitions, getting the Dream Chaser flying, and preparing its finances for a possible IPO as early as next year. The purpose is to put the person in an advantageous position.
“We’re going to start looking at that as an option and make a decision depending on what the market does,” Vice said. “But I think we’re quickly becoming a company that can show significant revenue growth.”
According to Vice, Sierra’s sales are expected to double in 2024. The current backlog of orders exceeds $4 billion, and the company is working to return to a positive cash flow.
After making significant layoffs in November, Sierra Space also plans to double its workforce this year.
The company has received offers to go public through a special purpose acquisition company (SPAC), but the plan is to embark on a traditional IPO process.
“We are a company that is very thoughtful about bringing about the most profound industrial revolution in human history,” Vice explained.
