Skyrora CEO Volodymir Levykin On Space Startups & Investment Opportunities12th Nov 2021
As the space industry is booming, many investors consider the endless opportunities and Volodymir Levykin, founder and CEO of a rocket-building company Skyrora, shared some of his thoughts with the Investment Week. According to him, the space market has reached its tipping point, similarly to the mid-1990s Internet movement.
Volodymir Levykin on a New Route to Listing
The Skyrora CEO believes that the US is traditionally leading the market when it comes to the invested sums, but the rest of the world, Europe and the UK included, is starting to catch up. In the last year alone, many high-profile space companies went public, mostly through SPACs. Previously, Richard Branson’s Virgin group was the only company to choose the SPAC route of the six ‘new space’ companies that went public before 2021.
Back at the time, the IPO deals raised a total of $800 million, but the cumulative amount of the SPAC deals in 2021 alone reached a stunning $7 billion. One of the reasons for the growing popularity of SPAC mergers is that they offer start-ups much-needed support during the initial stages. Even though SPAC deals have some legislation issues, critical for any space company that hopes to secure government contracts, many more young companies will choose SPAC mergers over traditional IPO deals.
Skyrora CEO on Opportunities for UK Tech Startups
Volodymir Levykin believes that most UK start-ups will soon follow in the footsteps of their US colleagues, so more SPAC mergers are likely to follow. The Skyrora CEO is confident that the environment is favourable right now, especially given that the London Stock Exchange has relaxed some of its regulations. However, SPACs are not the only option for UK tech companies as many private investors turn their attention to the space industry. Volodymir Levykin is certain that investors who move first will reap the biggest benefits.