Scottish rocket manufacturer Orbex, which has production facilities in Moray, is preparing to go into administration after repeated financial crises. The firm has expanded their employee base, employing now about 160 people. They have played a vital role in establishing the aerospace sector in the Highlands. Orbex would have had to fundraise relentlessly to stay alive and find potential merger partners. They’re facing obstacles that threaten to bring big shifts in direction for the group.
In a statement, Orbex conceded as much and expressed sadness at falling short in fundraising efforts. In our last update, we reported on the firm’s plan to sell the business to The Exploration Company (TEC). Sadly, those discussions didn’t lead to a positive resolution. Orbex has worked tirelessly to find solutions, yet it remains unable to secure the necessary funds to continue its operations.
Highlands and Islands Enterprise (HIE), which has invested millions of pounds into Orbex, emphasized the importance of the company to the region’s economy. HIE reaffirmed its pledge to help employees at risk of redundancy through the Pace partnership, which aims to deliver ongoing work into the area.
“We will work with our partners through Pace to do all we can to help those facing redundancy.” – Highlands and Islands Enterprise
Orbex has been spearheading the UK’s space ambitions. Most recently, they rolled out Prime, their flagship rocket, purpose-built as a low-cost launch vehicle for small satellites. The first orbital launch of Prime is currently expected to occur at SaxaVord Spaceport in Shetland.
Phil Chambers, the CEO of Orbex, shared an understandable disappointment on the development.
“Disappointing doesn’t come close to describing how we feel about this moment,” – Phil Chambers
Chambers pointed out that Orbex has already delivered hundreds of skilled jobs in Scotland. He stressed the company’s central role in accelerating the UK’s burgeoning space economy. He stressed the enormous economic potential that the industry holds not just for the region, but for the whole of Scotland.
“What is most disappointing is that we have brought hundreds of skilled jobs to Scotland; we have been at the vanguard of the UK’s space ambitions; we have led the way in driving good news about the UK’s space sector.” – Phil Chambers
The Highlands region is home to unique, natural geographical assets, including a vast underwater topography, that combine to make it a natural fit for satellite launch sites. Orbex has honed this expertise by being based in Moray. This experience has established its reputation as a leader in aerospace innovation and experience.
“From its base in Moray with its highly-skilled workforce of more than 150 people, it has made significant progress in developing the industry in the Highlands.”
Even with these strides, Orbex’s future is now up in the air as it heads towards potential administration. The company plans to collaborate with administrators to secure the best possible outcome for its employees and the regional economy.