Space42 has received approval from the Abu Dhabi Securities Exchange (ADX) to proceed with a share buyback programme covering up to 2.5 per cent of its issued share capital, as the UAE-based AI-powered SpaceTech company looks to enhance shareholder value.
The programme follows shareholder approval at the company’s General Assembly Meeting in April and will be funded from Space42’s existing cash resources.
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The buybacks will be carried out through open-market transactions in accordance with ADX and Capital and Market Authority regulations, with completed transactions to be disclosed regularly through the exchange.
Karim Michel Sabbagh, managing director of Space42, said the programme reflects the company’s confidence in its long-term prospects and its view that the current share price does not fully reflect its intrinsic value.
“This buyback programme reflects our confidence in Space42’s long-term future and our belief that the current share price undervalues the intrinsic value of the Company,” Sabbagh said.
He added that the programme reinforces the company’s commitment to delivering attractive returns to shareholders and represents a disciplined deployment of capital.
The announcement comes after Space42 reported strong first-half results for 2026, with revenue rising 15 per cent to $260 million (Dh953 million).
Space42 was created through the merger of Abu Dhabi-listed Bayanat and satellite communications company Yahsat, a deal that was announced in December 2023.
At the time, the companies said the merger would create an AI-powered space technology company with global ambitions and a market capitalisation of more than Dh15 billion. The combined business was designed to bring together Bayanat’s geospatial and AI capabilities with Yahsat’s satellite communications expertise.
The merger was completed in 2024, with Yahsat’s assets and obligations transferred to Bayanat. Yahsat shares were subsequently delisted from ADX, while Bayanat changed its trading symbol to Space42 from October 1, 2024.
The combination created a business spanning satellite communications, geospatial intelligence, Earth observation and AI-powered solutions.
Space42 has also secured significant long-term government business.
In December 2024, the company announced a Dh18.7 billion ($5.1 billion) contract with the UAE Government to provide secure satellite communications services for 17 years from 2026 to 2043.
The agreement included services using the existing Al Yah 1 and Al Yah 2 satellites, as well as two new satellites, Al Yah 4 and Al Yah 5, scheduled for launch in 2027 and 2028. The contract also included Dh3.7 billion in advance payments to support construction of the new satellites.
Source: Khaleej Times