Nokia has entered into an agreement with Celestial Acquisition Corporation to spin off its space communications venture, Modul8, into a separate independent company. The company said that the move, if completed, will allow Modul8 to translate its innovations into real-world applications for the expanding space economy.
To support the transition and future research and development, the companies are raising $40 million in fresh capital through a brokered financing led by Scotiabank. The transaction is expected to close by early summer.
Despite the spin-off, Nokia will remain a significant shareholder and continue to be involved, given the growing importance of space and non-terrestrial networks in future connectivity, including 6G.
