Press Release
4iG SDT strengthens market position in the space and defence industry markets with a HUF 96 billion capital increase
Strategic capital injection supports the implementation of 4iG Group investment and development plans
- 4iG Group Plc. announced the initial steps of a multi-phase, interconnected series of transactions, published on the official website of the Budapest Stock Exchange.
- The primary objective of the transactions is to provide capital support to 4iG Space and Defence Technologies Zrt. (4iG SDT Zrt.) for implementing aerospace and space-related investments, and to finance targeted investments and strategic projects in the Hungarian defence sector.
- The capital increase will be implemented through equity contributions from the iG TECH II. and iG TECH III. Private Equity Funds, both managed by iG TECH Capital Fund Management Plc., owned by Gellért Jászai.
- With the approval of the Board of Directors of 4iG Plc. and in accordance with the Investment Framework Agreement signed by
the parties, the two funds are expected to carry out a total capital increase of HUF 96 billion in 4iG Space and Defence Technologies
Zrt. by the end of September, in two phases:
- As an initial investment, the iG TECH II. Private Equity Fund will contribute EUR 75 million, while the iG TECH III. Private Equity Fund will contribute HUF 6 billion. Together, these contributions amount to approximately HUF 36 billion in capital, resulting in a 19.7% and 3.9% stake for the two funds, respectively—together holding 23.6% ownership in 4iG SDT.
- In the second phase, expected by the end of September, the iG TECH II. Fund will inject an additional HUF 6 billion, and the iG TECH III. Fund a further HUF 54 billion into 4iG SDT Zrt. With the two-step capital increase, the funds may acquire up to 49% ownership in the space and defence holding company. The second-phase investments will commence following the completion of ongoing due diligence and valuation processes.
- The independent valuation underlying the capital increase was based on the existing net contract and order backlog of more than EUR 1.37 billion across 4iG SDT Zrt. and its subsidiaries, as well as their business plans.
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. The iG TECH II. and iG TECH III. Private Equity Funds—managed by iG TECH
Capital Fund Management Zrt., a company owned by Gellért Jászai, Chairman and majority shareholder of 4iG Plc.—will carry
out a two-phase capital increase totalling nearly HUF 96 billion in 4iG Space and Defence Technologies Zrt. (4iG SDT Zrt.)
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% ownership stake in the company.
The transaction is underpinned by the net backlog of 4iG SDT Zrt. and its subsidiaries, exceeding EUR 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 Zrt., as the acquisition has not yet been closed. As such, N7 is not currently part of the 4iG SDT Zrt. consolidation
scope.The investments are intended to strengthen the financial foundations of 4iG SDT Zrt. 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 Zrt. 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 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
the 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 Plc.
4iG SDT Zrt. 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 the 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.
05 Aug 2025
Background information
4iG Space and Defence Technologies Zrt. (4iG SDT)
4iG Space and Defence Technologies Zrt. (4iG SDT) is a member of the 4iG Group, 4iG SDT is a Hungarian company specialising
in the R&D, system integration, and international commercialisation of defence and space technologies. Its mission is to support
the development of NATO-compatible defence capabilities through innovation and to serve as a bridge between Hungary’s tech
sector and the global defence industry. 4iG SDT plays a key role in Hungary’s defence innovation ecosystem and actively contributes
to the dual-use application of new technologies.
The backlog includes contributions from the following subsidiaries:
• CarpathiaSat Zrt.
• REMRED Zrt.
• Hungaro DigiTel Kft.
• Rotors & Cams Zrt.
• RAC Antidrone Zrt.
www.4igsdt.hu
Further information:
Péter ELKÁN
Group Corporate Affairs and Communications Director
sajto (@) 4ig.hu