Spire Global (SPIR) Status Update summary

Transaction overview

• Maritime business sold for $241 million, including $233.5 million purchase price and $7.5 million in service agreements over 12 months, at a 5.8x trailing 12-month revenue multiple.

• Proceeds will be used to pay off all outstanding loans, including Blue Torch and Strategic Innovation Fund, totaling about $110 million, and eliminate $16 million in annual interest payments.

• Over $110 million in additional cash is expected to be added to the balance sheet after the transaction closes.

• All satellite network technology and infrastructure will be retained; only maritime-specific software, contracts, and personnel are included in the sale.

• Sale expected to close by Q1 2025, subject to customer and regulatory closing conditions.

Strategic focus and future investments

• Refocused on core missions: climate change and global security, with increased alignment to these macro trends.

• Plans to invest in data analytics, RF geolocation, weather, and other significant near-term opportunities.

• Enhanced financial position will support pursuit of larger, long-term contracts, especially in government and aviation sectors.

• Flexibility to reallocate satellite payloads to higher-value uses, such as weather and aviation data, as maritime demand shifts.

• Enhanced sales and marketing investments are planned to leverage attractive sales efficiency ratios.

Deal process and ongoing relationships

• Sale initiated by unsolicited bid, followed by a competitive process resulting in Kepler as the buyer.

• 12-month service agreement for $7.5 million covers transition services and data provision to Kepler.

• Ongoing collaboration with Kepler to serve U.S. government maritime customers; Spire will act as a reseller of Kepler’s data.

• All maritime business personnel transition to Kepler; Spire retains government-focused sales channel for AIS data.

• No significant stranded costs expected due to multipurpose satellite design and ability to shift payload utilization.