A strategic capital increase was approved to support the implementation of the 4iG Group development and investment plans in its space and defence industry holding company. iG TECH II and iG TECH III Private Equity Funds – managed by iG TECH Capital Fund Management, a company owned by Gellért Jászai, Chairman and majority shareholder of 4iG – will carry out a two-phase capital increase totalling nearly HUF 96 billion in 4iG Space and Defence Technologies (4iG SDT) during August and by the end of September. As a result of the two-step capital increase, the private equity funds may acquire up to a 49 per cent ownership stake in the company.

The transaction is underpinned by the net backlog of 4iG SDT and its subsidiaries, exceeding €1.37 billion—equivalent to over HUF 548 billion at current exchange rates—and the associated business plans. This backlog reflects long-term contracts and secure revenue streams already committed to the company. Due to the nature of the space and defence sectors, these orders are based on multi-year development and delivery cycles, making the backlog a key indicator of the company’s long-term business stability and growth prospects. It also provides a solid foundation for the strategic objectives of the capital increase. It is important to note that the contract portfolio serving as the basis for the valuation and capital increase does not include N7 Defence, as the acquisition has not yet been closed. As such, N7 is not currently part of the 4iG SDT consolidation scope. The investments are intended to strengthen the financial foundations of 4iG SDT in order to reach the next milestones of the HUSAT satellite programme, expand manufacturing activities at the REMTECH plant in Martonvásár, build ground stations, and further develop data processing systems. In addition, the capital increases will provide 4iG SDT with the opportunity to implement further targeted investments, acquisitions and strategic projects in the Hungarian and international defence industry—enhancing the competitiveness and export potential of the national defence sector, particularly in the areas of civil and military aviation technologies, autonomous systems development, weapons and ammunition manufacturing, arms innovation, smart land mobility solutions, and the digitalisation technologies of the defence industry.

“This capital increase provides 4iG SDT Plc. with a stable financial foundation to respond effectively to the rapidly growing demand for space and defence technologies in both domestic and international markets. Changes in the global geopolitical landscape, rising defence spending among NATO member states, and the transformation of the space industry’s technological and business model all indicate that these sectors will continue to grow significantly over the next 10 to 15 years. The capital injection enables us to further build on the technological and industrial competencies we have deliberately developed in recent years. Our existing strategic partnerships and international negotiations reinforce the company’s growing presence on the global stage. I am proud that in less than three years, the space and defence segment has become the most dynamically developing area within 4iG Group. With this transaction, we are laying the foundations for a growth path that may soon make this business line one of the most significant within the Group,” said Gellért Jászai, Chairman of 4iG.

4iG SDT aims to become a provider of global services and an active player in international markets, particularly in areas such as satellite manufacturing and operations, drone production, counter-drone technologies, and both traditional and digital defence industry solutions.

In recent years, the company has established strategic partnerships with key international players in the sector, including Rheinmetall, EDGE Group, L3Harris Technologies, Axiom Space, Azercosmos, and Kazakhstan’s KGS. These partnerships ensure operations aligned with international standards—with particular emphasis on the NATO framework.

This capital increase not only ensures the financing of key developments but also marks a milestone in 4iG Group’s ambition to build an integrated space and defence industry group that is competitive across regional markets. By advancing both innovative technologies and traditional defence capabilities, the Group can make a long-term contribution to the competitiveness of the national economy and to strengthening Hungary’s defence sovereignty and supply security.

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Categories: Press Releases

Tags: 4iG, Azercosmos, edge