How finance will make space in the space economy

How finance will make space in the space economy

Who was there and what was said at the space finance webinar organized by the FeBAF and the E. Amaldi Foundation

If you are a few decades old and maybe you are boys, forget for a few minutes "It turns into a missile rocket, with circuits of a thousand valves, between the stars sprinting and going".

The economy of space will also be fun, but it is not a game, let alone a Japanese cartoon like Goldrake, which made its debut in Italy on Rai channels 42 years ago, depopulating among teenagers and making a small revolution for the TV of boys and not only .

The "space economy" is a global market of over 350 billion, with a constant growth rate that would bring it to 20 billion in 2030 and the astronomical figure of 2.7 trillion in 25 years.

Funding is expected from ESA – the European Space Agency – in the order of 11 billion over the next three years, with the 22 countries participating in the body that will compete for them in November with plans in the fields of access to space , satellite services, exploration and awareness of the spatial situation.

Italy is not watching, nor is it a cinderella of hyperuranium, because we are the sixth power in the world with 7000 employees, 600 companies, almost 2 and a half billion in turnover in 2018.

And the world of finance in Italy? There is, it is moving with "grants", subsidies, credit lines, mortgages, but also with alternative instruments such as venture capital and private equity which in our country and in the rest of Europe are less "mature" than industry overseas and can therefore still grow a lot in their role as a driving force. Furthermore, new financing opportunities such as minibonds and crowdfunding are interesting opportunities for a specialized entrepreneur.

A couple of unequivocal clues of this movement of the various financial subjects were collected yesterday during "Finance for Space, What a space entrepreneur must know about finance for innovation", webinar organized by the E. Amaldi Foundation and by the FeBAF, Banks Federation Insurance and Finance.

Clue number one presented at the webinar (it would be better to call it web-in-air): the launch of "Primo Space", the first Italian technological venture capital fund specializing in space investments, which was born with an initial budget of 58 million under the aegis of Fei (Bei Group) and Cdp Venture Capital Sgr, the support of the Italian Space Agency with the Amaldi Foundation in the role of technical advisor. An important debut, a forerunner with very concrete prospects, given that global venture capital investments in the space sector have grown exponentially, exceeding $ 4 billion in 2019 alone.

Second clue: the constitution now at the gates of an Observatory (it could only be called this) on Space Finance, promoted by the Amaldi Foundation and by the CASMEF study center of Luiss, which Start is able to anticipate and which will have the aim of uniting the technological and financial skills necessary to increase the scientific potential of finance for space in Italy.

It is on these issues that Giorgio Di Giorgio (Vice-Rector, Luiss G. Carli), Lorenzo Scatena (Secretary General, E. Amaldi Foundation), Raul Ricozzi (Partner, Orrick, Herrington & Sutcliffe), discussed at a distance, moderated by Eleonora Lombardi (Amaldi Foundation) and Giovanna Marando of FeBAF in a dense hour on the web.

Paolo Garonna, Secretary General of the FeBAF, drew the conclusions and discovered the third clue that perhaps proves the dynamism of Italian finance in these territories that are still little explored. The Federation – said the economist – will preside over analyzes and initiatives in this sector which needs a highly composite "toolbox"; tools that are precisely the set of financial instruments represented by the various components of a rassemblement such as FeBAF.

This is a machine translation from Italian language of a post published on Start Magazine at the URL on Thu, 06 Aug 2020 05:50:30 +0000.