Montreal-based NorthStar Earth & Space has announced its plans to merge with Viking Acquisition Corp. in a transaction that values the business at roughly $300 million and is expected to close in the third quarter of 2026.

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If you’re unfamiliar, NorthStar Earth & Space is a space infrastructure and data company focused on monitoring what’s happening in orbit.  Essentially, it tracks satellites and debris in space, then sells that data.

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That capability, known as space situational awareness (SSA), is becoming increasingly important as the number of satellites in orbit grows.

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The basic problem is pretty straightforward: more objects in space increase the probability of collisions. The existing system for tracking those objects relies heavily on ground-based sensors, which are limited by geography, weather, and line of sight.

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NorthStar’s approach is to move that capability into space.

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The company is developing a constellation of satellites that can monitor orbital activity continuously, rather than intermittently. These systems are designed to detect, track, and predict the movement of objects across low Earth orbit, medium Earth orbit, and geostationary orbit.

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In practical terms, that means better data.

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The system can provide maneuver detection, collision warnings, and anomaly identification with greater frequency and precision than ground-based systems alone. That has applications across commercial satellite operators, government agencies, and defense organizations. It also becomes more relevant as space traffic increases.

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Funding the infrastructure

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The company has already begun deploying this infrastructure.

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In early 2024, NorthStar launched the first four satellites in its planned SSA constellation. The longer-term plan calls for a network of at least a dozen satellites by 2026, capable of covering more than 60% of the near-Earth orbital environment at any given time.

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That’s not full coverage, but it is a meaningful step toward it.

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The capital from the SPAC transaction is intended to accelerate that build-out. The deal includes a committed $30 million private investment in public equity (PIPE), with total proceeds expected to be at least $30 million. Those funds are earmarked for satellite payloads, sensor development, spacecraft integration, and other engineering costs associated with scaling the network.

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In other words, the proceeds are going directly into infrastructure.

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Worth noting: the company does generate revenue and has indicated projected revenue of approximately $30 million this year, suggesting there is already some level of commercial and government demand for its data services.

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But the business is still in the build phase.

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Capacity and demand

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Scaling a satellite constellation is capital-intensive, and the economics depend on both deployment and utilization.

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NorthStar needs to increase the number of sensors in orbit while also expanding its customer base. Those two variables, capacity and demand, will determine whether the model works.

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To be sure, risk does remain.

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NorthStar’s first batch of satellites, launched with partner Spire Global, reportedly faced performance issues, including the loss of one satellite and underperformance of others. That highlights the technical risk inherent in deploying new space infrastructure. Even small issues can affect data quality, reliability, and customer adoption.

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That being said, the space environment is becoming more congested.

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Satellite launches are increasing. Governments and commercial operators both need better data to manage risk. NorthStar is positioning itself as a provider of that data.

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The question is not whether the need exists. It does. The question is whether the company can execute at scale. And that means launching satellites on schedule, maintaining system performance, and delivering data products that customers are willing to pay for on a recurring basis.

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The SPAC transaction provides the capital to attempt that.

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