[Asia Economy Reporter Hyunseok Yoo] Kenko Aerospace announced on the 16th that it has participated in an investment in the UK-based SPACE FORGE. Starting with this investment, equity investments and planned mergers and acquisitions (M&A) in the space sector are expected to become actively visible.
SPACE FORGE secured seed round funding last May, co-led by Type One Ventures and Space Fund. This round included investments from numerous space-specialized venture capital funds, as well as leading space industry executives such as George Whitesides, former CEO of Virgin Galactic, and Dylan Taylor, CEO of Voyager Space Holdings.
In September, the European Space Agency signed a support contract worth 1.7 million euros (2.4 billion KRW), demonstrating a certain level of demand, technological maturity, and commercialization capability in the related industry.
Headquartered in the UK, SPACE FORGE is a small satellite service platform company that manufactures semiconductors, bio, and special materials in outer space.
Low Earth Orbit (LEO) is the optimal location where microgravity, vacuum, and absolute zero temperature can be simultaneously realized. Outer space, free from atmospheric pressure and gravity, allows for the formation of large and perfect crystals and uniform alloy mixing. The cold environment, which easily reaches absolute zero (-273.15°C), provides an ideal setting for manufacturing superconductors and quantum devices. Additionally, the absolute vacuum of space offers an optimal environment for producing bio-materials without concerns of micro-contamination, which cannot be achieved on Earth's surface.
SPACE FORGE launches small satellites equipped with production modules for targeted materials, which remain in low Earth orbit for about six months to complete the manufacturing process before safely returning to Earth. These satellites provide a reusable service platform. This is the commercialization of an in-space manufacturing platform.
Through this investment, Kenko Aerospace plans to explore global business opportunities in the space sector with SPACE FORGE. Once this service is commercialized, the production of satellites equipped with launch vehicles and production modules is expected to accelerate. Kenko Aerospace may gain opportunities to participate as a value chain partner supplying launch vehicles and satellites produced in Korea.
Kenko CEO Min-kyu Lee stated, “The global space market is currently developing technology at a pace unimaginable domestically, so the commercialization of these technologies will not take as long as in the past. Starting with this investment, our goal is to discover additional business opportunities and maximize synergy through continuous investments and partnerships with promising leading global companies.”
He added, “We will grow into a leading global space launch vehicle company, establishing ourselves as a main player in the global space market.”
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