Sidus Space raises $5.2 million for LEO constellation

Sidus Space said Feb. 2 it has raised $5.2 million from the stock market to support LizzieSat, a multipurpose constellation it expects to start deploying in low Earth orbit this year. The company sold shares on NASDAQ for $0.30 each, a steep discount to their $5 initial offering price in December 2021 after declining for much of the year. Proceeds will help expand manufacturing capabilities, sales and marketing efforts, and cover operational costs as production ramps up toward as many as 100 small satellites over the next two years. Sidus has now raised about $24 million from the stock market after being borne out of Craig Technologies, a Florida-based government contractor founded in 1999. Less than a year after getting $15 million from its initial public offering, the company entered into a stock purchase agreement Aug. 10 enabling it to raise up to $30 million of additional equity as needed. About $3.5 million was raised under that agreement in the three months to the end of September, Sidus said during its latest financial results announcement Nov. 14. The company recorded $1.32 million in revenue for the three months to Sept. 30, up from $500,000 for the corresponding period in 2021, and had $4.4 million in cash at the end of September. It said total operating expenses reached $3.7 million for the third quarter of 2022, compared with just over $9,000 for the same period the previous year.

An artist's depiction of a LizzieSat satellite. Credit: Sidus Space Credit: Sidus Space

Ramping up

Sidus said Nov. 14 it is in talks with “numerous potential customers, including domestic and international government agencies,” to host payloads and provide data from its proposed constellation.

These include NASA and Mission Helios, a blockchain company. Sidus expects to deploy its first 100-kilogram LizzieSat satellites this year from the International Space Station and via SpaceX rideshare missions.

The company, which declined to provide a narrower launch window, has a five-launch agreement with SpaceX.

Superyacht surveillance

Sidus has plans to use LizzieSat for a space-based maritime surveillance and tracking system developed in partnership with Capital C, a superyacht designer.

According to Sidus, imagery and radio frequency sensors on LizzieSats could help monitor hazards, including piracy, changes in ocean currents, debris, and oil spills.

Under a Memorandum of Understanding between the two companies, Sidus will assist in developing, delivering, and maintaining these monitoring capabilities for Capital C’s future fleet of superyachts. Capital C said the maritime surveillance network is part of Project Terra, a fleet of “Sustainable Passenger Expedition Yachts” announced Sept. 29 for small island developing states and in emerging markets.

The project involves yachts in various configurations from 150 meters up to 250 meters in size. By using Sidus’ space-based monitoring solutions, Capital C said these vessels could use fuel more efficiently to reduce emissions.

Capital C did not give a timeframe for Project Terra and said more details will be “announced in due course.” Sidus said LizzieSat aims to take advantage of a shift away from static and low-frequency satellite imaging and geospatial solutions “toward on-demand access of real-time geospatial intelligence.”