FastFacts: Public-Sector Financial Support for Richard Branson’s Space Companies

Four big thumbs up from Richard Branson and then New Mexico Gov. Bill Richardson at the Spaceport America runway dedication in 2010. (Credit: Douglas Messier)

The nonbinding memorandum of understanding involving $1 billion in investment from Saudi Arabia is Richard Branson’s latest success in obtaining financial support from governments for his Virgin Group’s space companies.

The table below shows funding invested directly into the group’s space ventures and indirectly for infrastructure.

VIRGIN GROUP SPACE COMPANIES — DIRECT & INDIRECT GOVERNMENT INVESTMENT
YEARGOVERNMENT
AMOUNT (MILLIONS)
PURPOSE
2006New Mexico~$225 Custom built spaceport named Spaceport America constructed on 18,000 acres of land — Virgin Galactic signed 20 year lease to serve as anchor tenant
2009Abu Dhabi $280Government-owned sovereign wealth fund Aabar Investments obtained 31.6 percent share of Virgin Galactic — plans for a spaceport where SpaceShipTwo would fly in Dubai — future commitment of $100 million more when Virgin Galactic developed viable plan for small-satellite booster (LauncherOne)
2011 Abu Dhabi $110Aabar Investments increased share of Virgin Galactic to 37.6 percent
2017Saudi Arabia$1,000Under non-binding MOU, government-run Public Investment Fund (PIC) would obtain undisclosed share of three Virgin Group space companies: Virgin Galactic, Virgin Orbit and The Spaceship Company — Virgin Group  to maintain majority ownership
 TOTAL: $1,615
 Future Saudi Arabia $480PIC has an option to invest nearly a half-billion more in Virgin Group space services
 TOTAL:$2,095

Virgin Group, Saudi Arabia Sign MOU for $1 Billion Space Investment

LauncherOne ignites after being released from Cosmic Girl 747. (Credit: Virgin Galactic)

RIYADH, Saudi Arabia, October 26, 2017 — The Public Investment Fund (PIF) of Saudi Arabia and Virgin Group (Virgin), have signed a non-binding Memorandum of Understanding (MoU) for a partnership under which PIF intends to invest approximately $1 billion into Virgin Galactic, The Spaceship Company and Virgin Orbit, with an option for $480 million of future additional investment in space services.

(more…)