Astro Digital Sets $587 Million SPAC Merger to Scale Satellite Production

Satellite manufacturer Astro Digital plans to go public through a special purpose acquisition company merger valued at a $587 million enterprise value. The company and blank check firm Proem Acquisition Corp I announced the deal Monday, with a close expected in the first quarter of 2027.

Astro Digital has delivered nearly 40 satellites across a range of mission types, with customers including NASA, Sony, Boeing, and EchoStar. Its platforms supported the Starcloud-1 on-orbit computing mission and the Mandrake 2 mission for DARPA's Blackjack program, and the company built the Lyra IoT satellites for EchoStar.

The transaction is expected to provide $180 million in financing, comprising $130 million from the SPAC, assuming investors do not redeem their shares, and $50 million from a private investment in public equity. CEO Chris Biddy laid out a growth plan on a Monday investor call, describing a shift into constellation scale production, modular production lines, and co-manufacturing as customers move from demonstrations to hundreds of satellites.

Astro Digital's revenue grew from $25 million in 2024 to $34 million in 2025, and the company expects $50 million this year. It projects more than $500 million in revenue by 2032 through a combination of growth from existing customers, new customers, and mergers and acquisitions. Biddy said that figure is "an aspirational target, not a projection or forecast."

"Our existing customers have announced constellation plans, converting a meaningful share of that at pricing consistent with our history is the largest single driver," Biddy said. "We have an active sales pipeline with multiple new logos in play, and our strategic pursuits with U.S. civil, defense, and with sovereign constellations are expected to accelerate as we add sales capacity."

The company reported a positive Adjusted EBITDA margin of 11% in 2024 and 14% in 2025. It ended last year with $64 million in backlog and expects to close this year with $86 million in backlog.

Biddy framed the company's longer term ambition beyond constellation manufacturing. "Beyond that, we intend to be the physical layer of the space economy, the platforms under orbital data centers, on-orbit power, and in-space servicing and logistics," he said.

The deal adds to a group of active SPAC transactions in the space sector, including those involving NorthStar Earth & Space, Quantum Space, and Astrum Space. SPACs were very popular in 2021, when Rocket Lab, Spire, BlackSky, Momentus, and AST SpaceMobile used them to go public, but have been less common in recent years.

The merger is expected to close in the first quarter of 2027.