HEO acquires in-orbit satellite from Satellogic

ORLANDO, Fla.— HEO, the Australian company that performs in-space imaging of spacecraft, has acquired its own satellite though a deal with Satellogic.

The two companies announced Jan. 26 that HEO will buy Satellogic’s NewSat-34 spacecraft, launched into low Earth orbit three years ago. The companies did not disclose terms of the deal.

The purchase is a departure for HEO, a company that performs non-Earth imaging (NEI), or imaging of other space objects. It has carried that out by working with several Earth imaging companies, partnering with them to access those satellites when they are not being used, such as when passing over oceans.

HEO said it will use the Satellogic spacecraft, renamed Continuum-1, for research and development, such as testing new imaging modes. It will also help the company expand its catalog of satellite imaging and create datasets for training artificial intelligence tools.

Among that R&D work, a company spokesperson said, would be maneuvers by Continuum-1 to carry out satellite-to-satellite imaging operations that would not be feasible if the satellite was owned by another company and still primarily used for Earth imaging.

“The intention of this acquisition is to rapidly build the next generation of imaging modes and products that we can then roll out to our partners,” the company stated.

When Continuum-1 is not being used for NEI, it will be available for its original mission of Earth observation. It will be the first Australian-owned satellite capable of providing images with a resolution sharper than one meter.

“The acquisition of NewSat-34 represents a historic shift in our nation’s space maturity,” Will Crowe, chief executive of HEO, said in a statement. “For the first time, Australia moves from being wholly dependent on foreign governments and commercial queues to having direct ownership of a sub-meter resolution satellite.”

An HEO spokesperson said that less than 20% of Continuum-1’s capacity will be used for Earth observation, with the rest focused on NEI. HEO will also not be directly involved in any Earth imaging work for the satellite, letting government and commercial partners handle that.

Satellogic, which has been one of HEO’s partners for NEI imaging, said the sale of NewSat-34 was a way for it to get value for an aging satellite buy providing it to a customer who doesn’t have to wait to build and launch a new satellite.

“Selling an in-orbit legacy satellite like NewSat-34 removes a major operational constraint for customers that require sovereignty, control, and speed,” said Luciano Giesso, vice president of space systems at Satellogic, in a statement.

The announcement came the same day Satellogic said it completed the sale of $35 million in company stock. “This $35 million registered direct offering, in addition to several commercial wins, is the most recent indication that our commercial momentum continues to build and will further accelerate our growth and in-orbit capabilities,” Emiliano Kargieman, chief executive of Satellogic, said in a statement.

Satellogic reported in its most recent financial results in November an adjusted EBITDA loss of $4.6 million in the third quarter on $3.6 million in revenue.