HawkEye 360

Well, that was far from the case.

So let's move on and talk about our next company, Hawkeye 360.

Now, when we look at their revenue growth, it's quite strong, right? 85%.

Well, you always need to differentiate between organic revenue growth and acquired revenue growth, because organic shows you that their core platform is growing.

So when you think about geospatial intelligence, we think there's better ways to play this.

Companies like Planet, which starts to have more characteristics of a SAS company and how they operate.

They have large data moat scale, a unique leadership position in their niche, even though they don't compete with Hawkeye 360.

These are complementary technologies.

Likewise, prior to the C share issuance, we were not in a position to look to expand the portfolio with any new additions, and this was at a time of abundance of a fantastic investment opportunity market.

Thankfully, this situation has now been rectified through the hundred and thirty-seven raised from the C shares, plus the capital that we've recycled from AllSpace and from additional liquidity through the listed portfolio, including HawkEye 360 having gone public.

Turning next to some of the major developments of the fund's key holdings.

Given the huge gains in the portfolio value we've seen over the last year, I wanted in this section to go into some depth with some of the key investments that have been driving this performance.

With the convergence of terrestrial and satellite connectivity accelerating in the wake of SpaceX moving to the market, the business is now looking to expand beyond its existing low data rate products towards high data rate ones.

We believe that Skylo is exceptionally well-positioned as the enabling layer between MNOs and OEMs on one hand and the satellite operators in the other, resulting in the fund investing twenty-three million dollars into the business post the period end.

Next up, HawkEye 360, which had a stellar year culminating in the oversubscribed IPO on the New York Stock Exchange in May twenty twenty six, raising four hundred and sixty million dollars.

Prior to its IPO, the business completed its acquisition of Innovative Signals Analysis, a provider of high-performance signal processing technologies, alongside closing out a previous hundred and fifty million dollar Series E private round.

In the form of, um, satellites and space, we of course have SpaceX.

We have Hawkeye 360.

We have K2.

We have several up-and-comers to Anomaly.

Which is, which is a v- which is tremendously, uh, lopsided and is not indicative of a great liquidity market.

So I am very hopeful that we will see liquidity, as Mike pointed out.

We've seen it in the form of Palantir and Hawkeye 360.

SpaceX.

Um, and then it also provides the, the other, uh, the majority of the exposure, the other 88%, uh, is focused on the fastest growing new space companies, of which, of course, SpaceX is one.

But other companies that we've invested into when they were private that have subsequently IPO'd, like HawkEye 360 and like Voyager, are also, uh, constituents that we've over-weighted because we've got an insider's view on how rapidly growing these companies are.

Mm.

So that's how we've really, um, really distinguished between old space and new space, and now created a platform for investors to be able to get that, um, pure play exposure.

But I thought very interesting is kind of the conversation among the Earth observation providers generally is the focus is not just um higher resolution anymore you know for so long that was kind of the the holy grail just get resolution better better better and now it seems much more um building a a uh combination of sensors and effects uh you know as a even if it's like earth um you know electro-optical maybe you link a satellite that does um wide area surveillance with a spot imager and maybe have some cross-linking Because there's actually value in having that wide field of view.

We're seeing that, you know, we had the agreement between Leonardo and Hawkeye 360 for to use that Hawkeye 360's, you know, SIGINT capability feed into the Leonardo constellation here down the road, you know, Vantor.

presented its new pulse satellite concept that is electro-optical, but also designed to host other types or to be other types of sensors, SAR or maybe a different.

And so I thought that was very interesting.