Seraphim Space Investment Trust (LSE:SSIT) said its largest portfolio company, synthetic aperture radar satellite operator ICEYE, has won a €1.7 billion contract through its joint venture with German defence group Rheinmetall. The agreement will see the partners deliver a dedicated SAR satellite constellation and associated services to the German Armed Forces.

The five-year contract covers satellite constellation operations, ground segment management and AI-enabled image analysis. Seraphim said the scale and strategic importance of the deal is expected to materially strengthen ICEYE’s commercial standing, reinforce its position as a key supplier of sovereign space-based intelligence capabilities, and support the trust’s long-term investment case.

The trust added that the contract win could lead to a reassessment of ICEYE’s valuation approach at year-end, potentially supporting a move back toward a higher valuation methodology.

From a broader perspective, Seraphim Space Investment Trust continues to report a solid balance sheet and improving profitability metrics. These positives are partly offset by ongoing negative cash flows and weaker technical indicators in the share price. While the valuation appears reasonable, the lack of a dividend yield may temper near-term investor appeal, despite the trust’s strategic positioning within the expanding SpaceTech sector.

More about Seraphim Space Investment Trust Plc

Seraphim Space Investment Trust plc is the world’s first publicly listed investment vehicle focused exclusively on SpaceTech. The trust invests primarily in growth-stage, privately funded space technology companies targeting leadership positions across areas such as climate monitoring, communications, mobility and cyber security. It is listed on the Main Market of the London Stock Exchange and is managed by Seraphim Space Manager LLP.

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