Landscape for Financing Services in Europe

Transcription

1 Ref. Ares(2016) /01/2016 Brussels, 25 January 2016 SpaceTec Capital Partners GmbH Sendlinger Strasse Munich Germany T F SpaceTec Partners SPRL Avenue Louise Brussels Belgium T F

2 SpaceTec Activity Scope and Service lines Coaching & Capital Management Consulting Programme Management Strategic Communication 1

3 Space technologies are the backbone of the digital age Large pool of European innovation R&D Rich European R&D base ~ 9 Bln p.a. spent on space tech Thriving entrepreneurial eco-system IP and tech transfer mechanisms New space entrepreneurism New satellite design philosophies Platforms, scalability, serial production Decreasing launch costs Near real-time data provision Demand-driven application thinking Positioning Ge ointelligence Autonomous Motion Ubiquitous Connectivity 2

4 Positioning technology can save (digital) lives Source: Handelsblatt 25 Jan 20 3

5 NewSpace is not only a US-based activity, for example, small launchers and services are being developed everywhere Ground launch Air launch Balloon launch (rockoon) 4

6 Positioning Advanced positioning solutions through new constellations Multi-GNSS, allows for unprecedented accuracy, availability and new features New applications thanks to as higher precision and authenticated positioning (Galileo) GeoIntelligence SatNav capacity will increase with additional 40 new sats 4 SatNav constellations to be completed in the coming decade Autonomous Motion Global GNSS market size ( BN) + 7% Cumulative core revenue by segment Ubiquitous Connectivity Source: GSA Market Report, Version

7 Positioning GeoIntelligence becomes stronghold in commercial space Number of Earth Observation satellites tripling vs last decade Free open data sets providing an enormous amount of data available for analysis Near real-time and high resolution satellite imagery heralding a new wave of services GeoIntelligence New modes of data transmission and distribution in the sky, air and on the ground Leaps in processing, big data and grid computing allowing petabytes to be analysed Autonomous Motion Ubiquitous Connectivity EO Market Size ($ M) of Data and Value Added Services - Forecast Planet Labs to capture image of the planet every day with 150 nano-satellites Skybox Imaging to have 24 microsats imaging the world in high resolution 3x a day Unprecedented amount of EO data free of charge Source: NSR 6

8 Positioning Autonomous Motion powered & enabled by space GeoIntelligence Commercial user market of UAVs to grow to $ 1.7 B in 2015 Need for better aerial imagery & faster deployment in autonomous and assisted driving Robotic solutions form key elements of the so-called Industrial Internet Autonomous vehicles expected by 2020; almost all automotive OEMs and Tier1 suppliers currently conducting R&D towards assisted driving Essential to understand the regulatory environment Autonomous Motion Acquired by car manufacturer consortium to keep strategic enabling capabilities Ubiquitous Connectivity Experimenting with UAVs, autonomous robots and vehicles Source: CB Insights The future of frontier tech 7

9 Positioning Ubiquitous Communications for industrial and private use GeoIntelligence New low-cost constellations for improved connectivity (internet access) in rural areas or underserved markets Low-cost, energy efficient, small satellite terminals for M2M and IoT applications Satellite / terrestrial hybrid networks Improvements in compression techniques and algorithms Autonomous Motion Ubiquitous Connectivity Traditional space Partnership with Cisco Developer Programme Open interfaces (SDK, API) More hybrid hardware with GNSS NewSpace aims to launch 648 telecommunication satellites by 2020 announced a constellation of 4000 satellites with initial services to start in

10 American, Russian and Chinese investors discover Space-Tech Successful US Entrepreneurs Elon Musk Jeff Bezos Larry Page & Sergey Brin Sir Richard Branson Mark Zuckerberg Ansari Family Peter Diamandis Investors with Sector Focus Airbus Group Venture Fund (US) Space Angels Network (US) GLONASS Fund (RU) Space Techn. Inv. Fund by RVC & Finematika (RU) BDStar Capital (CN) Runway Venture Capital (US/Russia)* Seraphim Space Fund (UK) US Venture Capital Founders Fund - Peter Thiel Draper Associates / DFJ Bessemer Ventures Asset Management Ventures CrunchFund Canaan Partners Norwest Venture Partners Khosla Ventures In-Q-Tel (US), CIA-Fund Mithril Capital Management /Peter Thiel Incubators / Accelerators / Crowd ESA BICs (Europe) Space Tango Incubator (US) Starburst Accelerator (FR) A3 - Airbus Group Innovation Center (US) Space Techn. Incubator Skolkovo Innovation Center (RU) FunderNation (DE) Crowdfunding also for Space * Being established 9

11 American companies acquire European companies to grow and substantiate their business model Spanish company two Deimos satellites (310kg) Global imagery archive Acquisition of assets and unit with ~ 50 employees for ~$ 80 M Berlin-based SME with five RapidEye satellites (150kg) Global imagery archive ~ 100 employees Acquisition price not disclosed UK-based position technologies company with 2,100 employees Includes SiRF (US), NordNav (SE) Acquired by Qualcomm for $2.5 billion and 22 acquisitions of European geospatial companies since 2003 by 10

12 Europe is building a thriving space application eco-system 20 ESA Business Incubator Centres 23 Partner regions in space application competitions Locations of AppCamps Anwendungszentrum Oberpfaffenhofen GmbH 11

13 Research Programmes (e.g. H2020, National) The European Space financing eco-system is incomplete Idea / Invention Incubation Seed-Round A-Round Later Stage Idea and Business Plan Competitions Incubators & Accelerators National & PPP-Funds Venture Capital Funds Regional State Funds Networking Platforms No dedicated space investor for Europe SME Instrument / Business Coaching Business Angels & Crowdfunding Schemes Loans & Project Finance Corporate VC Funds BMW i-ventures 12

14 H2020 SME Instrument: SpaceTec Coaching examples Spectrum ARC GmbH (ESA BIC Bavaria) Engineering and consulting services and testing: Commercial-off-the-shelf (COTS) electronics are tested and qualified according to NASA and ESA standards SpaceTec coach support the H2020 SME instrument feasibility study. Astrofactum GmbH (Munich/ Berlin) A private sector initiative to develop and build a commercial space telescope service, which can be used by anyone. SpaceTec coach helps in substantiating the commercial use case for the space telescope during the H2020 SME instrument feasibility study

15 Crowdfunding study commissioned & published by the European Commission DG Connect Crowdfunding models Market development & trends Positioning in financing market Potential for innovation Success factors for campaigns Quarterly benchmark Regulatory state of play in Europe & internationally Perspectives for an evolving regulatory landscape 14

16 Crowdfunding many different types Basic types of crowdfunding Non-financial return models Financial return models Donation Reward Pre-selling Equity Lending 15

17 The success rate of current space campaigns outperforms the general technology categories on Kickstarter and Indiegogo 60% 50% Arkyd - a space telescope - raised USD 1.5 Mio on Kickstarter 40% 30% Elegant set of rewards such as availability of telescope time and backers selfies from space 20% 10% 0% Space campaigns Kickstarter all campaigns Kickstarter technology campaigns Indiegogo all campaigns Indiegogo technology campaigns Most successful crowdfunded space mission in terms of funding size 16

18 A German Navigation SME as early adopter. Seeking company loan through Crowdfunding 17

19 VCs engaged in Skybox achieved significant returns Series A : $3M Series B : $18M Series C : $70M EXIT: $ 500 M 31 July July April 2012 July 2014 Investment syndicates per investment round TOTAL $91M Draper Associates Khosla Ventures Draper Associates Khosla Ventures Bessemer Ventures Khosla Ventures Bessemer Ventures Asset Management Ventures CrunchFund Canaan Partners Norwest Venture Partners Skybox s satellites will help to keep Google Maps accurate with up-to-date imagery Employees Return on Investment (IRR) Achieved Multiple Stanford Spin-off % 60% 67% 11x 6x 3x Source: Crunchbase, Dan Berkenstock, Skybox Co-Founder during Space 2.0 Conference 2016, SpaceTec Analysis 18

20 Autonomous Motion Case Study: Baselabs (DE) Autonomous Motion Galileo R&D project created scientific foundations Rainer Horn met founder team as project reviewer SpaceTec coached the team under government founder scheme Spacetec supported team with business strategy and market approach Seed funding by local government fund Software suite for autonomous driving and driver assistance (ADAS) applications Automotive OEMs and suppliers can reduce time to market by using rapid prototyping Proprietary know-how in automotive sensor fusion Licence and service business Sensor Fusion Status: Product compatible with widely used MATLAB software toolbox 2014: Automotive software supplier bought 49% Growing internationally with customers like Bosch, Daimler, Denso etc. also in China Technology sold under vector and baselab brands 19

21 Ubiquitous Connectivity Case Study: Vialight (DE) Ubiquitous communication VLC has experience with a wide range of communication scenarios: Laser communication boosts potential data rates beyond 1 Gbps Simplex and bi-directional optical communication links Spin-off from the German Aerospace Centre (DLR) Develops and manufactures innovative high-rate laser communication systems for aerial applications Transmit large amounts of data in real time from flight platforms such as aircraft, helicopters, airships, or UAVs Applications in remote sensing, natural resources, the film industry, telecoms, scientific mission support, and defence Optical communication links for Unmanned Aerial Vehicles (UAVs) and High-Altitude Platforms (HAP) to ground Inter-UAV/HAP UAV/HAP-to-satellite Aircraft-to-ground Small sat constellations 20

22 Ubiquitous Connectivity Case Study: Ovinto (BE) Positioning & Ubiquitous Communication 10+ year team history, founded 2005 SpaceTec assists Ovinto in tapping the Asian markets through its GNSS.asia activities GNSS SatCom Monitor hazardous goods in unpowered transport units Applications in transport unites (rail wagons, containers) Also heavy equipment targeting shale gas, petrochemicals, mining industries, etc. USPs Reducing the cost of ownership and operating cost through improved fleet management & safety levels Patented ruggedized solution with battery autonomy up to 8 years Worldwide coverage through >50 Globalstar Communication Satellites Positioning through Satellite Navigation Designed to continue where other systems stop in extreme conditions Approved up to the highest ATEX explosion safety level (zone 1) Encryption of critical business data Status: 8 employees, growing, global clients 21

23 Many investors indicate that co-investment schemes can be an important driver in building, growing and professionalising the angel and the VC market by providing a more structured investment process Financing High-Growth Firms, OECD (2011) 22

24 The German High-Tech Gründerfonds is a showcase of how government funds can leverage private investments The High-Tech Gründerfonds (DE) invests in high-potential start-ups based in Germany. The fund is a public-private partnership between the German Federal Government, the German development bank (KfW) and twelve industrial groups. In the seed stage a minimum of 20% of the capital must be provided by the founders, however half this amount can be provided by business angels, regional seed funds, public or private investors. HTGF is flexible towards private investors, even with regards to investment terms HTGF invests up to 500k during the seed stage and up to 1,5m in follow-on investments in the form of a subordinated convertible loan and an equity share of 15% HTGF HTGF Other Investors Lead investor Co-investor Follow-on investments Founder / BA / VC / Etc. 23

25 Effective financing needs private sector skills and calibration Impact of Coaching on Dealflow 100% 80% 60% 40% 20% 0% 21% Inquiries 38% Termsheet offer or Investment Other Coaching Source: HighTech Gründerfonds Dealflow Statistics

26 Key Takeaways Space technologies are the backbone of the digital age Positioning GeoIntelligence Autonomous Motion Ubiquitous Communications Foreign investors discover Space-Tech related investments American companies acquire European companies to solidify their business Europe is building a thriving space application financing eco-system The European Space financing eco-system is incomplete There are opportunities for European space companies in global growth markets Effective government financing needs private sector skills and calibration Government funds can leverage private investments and expertise 25

27 Contact 26