Asset sale explored as orbital launch firm files for administration

Scotland-headquartered orbital launch and space rocket manufacturing company Orbex has filed a notice of intention to appoint administrators (NOI), following failed efforts to raise funds or secure a deal that would have safeguarded its future.

In a post on its website, the company said that it would continue trading during the process, while options were explored, including a potential sale of all or part of its business or assets.

According to the company, it had sought the required funding for it to remain viable from both public and private investors during a Series D funding round. However, these efforts ultimately failed, while a number of M&A opportunities did not result in a favourable outcome.

Orbex CEO Phil Chambers said that the firm had been “successfully developing a sustainable, world-class sovereign space launch capability for the UK”, adding that the company was “on the cusp of our first test flights later this year.”

Chambers continued: “It is no secret that designing and building space rockets to enable a launch service is a capital-intensive, highly advanced process with a long development cycle that creates a ‘scale-up’ funding gap. Institutional support is a crucial to bridge this gap and we have worked tirelessly to try to find both funding or rescue solutions.”

The first test launches of the company’s Prime microlauncher were due to take place later on in 2026, with the company saying it already has commercial launch commitments from a number of satellite customers. According to Orbex, Prime is “one of the most advanced, low-carbon microlaunchers in the world.”

In accounts for the year to December 31 2023, Orbital Express Launch Limited Group reported an operating loss of around £17.4 million, up from £8.7 million a year earlier, while post-tax losses widened from £8.2 million to £16.2 million.

At the time, the company’s fixed assets were valued at £5.2 million and current assets at £18.4 million, with total equity amounting to around £16.3 million.

Following the announcement, Glasgow-headquartered rocket company Skyrora said that it was exploring the possibility of acquiring select Orbex assets, including its Sutherland Spaceport scheme, in an investment of up to £10 million.

According to Skyrora, this would ensure that technology developed in the UK remained under UK ownership, protecting critical national infrastructure. The firm, which has a manufacturing facility in Cumbernauld, was granted a launch licence for its Skylark suborbital rocket in 2025.

Skyrora Chief Operations Officer Dr Jack-James Marlow commented: “Skyrora is committed to delivering sovereign launch capability for the UK; providing reliable, independent access to space is crucial to the UK’s strategic interests.”

“Launch will not only unlock commercial activity for companies that need to access space and help achieve the Government’s objectives for becoming a global player in the space sector, but it is also a strategic defence consideration.”

“As the only UK company with a domestic launch licence and both manufacturing and testing capabilities, Skyrora is best placed to take over Orbex’s assets and is proud to be leading launch activity from the UK.”

Find out more about how the UK's scale-up funding gap is creating valuable M&A opportunities in our exclusive interview with Buzzacott head of M&A Meera Shah

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