Seraphim Space Investment Trust (LON: SSIT) has narrowed the discount to NAV over the past two months. The NAV has held up over the third quarter to March 2025, while the share price has increased from below 50p to 72.9p since early April. That has reduced the discount to NAV to 28%.
At the end of March 2025, NAV was 100.78p/share, compared with 101.04p/share at the end of December 2025. That includes £16.5m in cash. Since March, £7.9m has been raised from the sale of 95% of the stake in AST SpaceMobile, one of the few quoted companies in the portfolio. The current cash balance is £22.6m.
Most of the portfolio is unquoted. There was growth in the value of the portfolio, but it was offset by currency movements. That is mainly down to the US dollar, which has since recovered. Investment demand for space-related investments continues to grow. Money invested was 13% higher in the 12 months to March 2025.
There was £2m invested in two follow-on investments and an initial £4.1m investment in Zeno, which is developing nuclear batteries for autonomous systems, defence equipment and off-grid infrastructure. Uses natural decay of radio isotopes, nuclear power by-products, to provide steady power generation. This is useful for harsh environments – space, bottom of the ocean, etc. Zeno has been able to reduce the size and cost of these batteries.
Investee company Voyager is planning to float in the US, and a prospectus has been filed. There is continued uncertainty in the capital markets, but Voyager could still be attractive to investors.
There has been a slow down in US Department of Defense procurement, but more of the budget is expected to be invested in space-related opportunities.
The UK defence review has been published and acknowledges need for change in procurement. The government intends to invest £400m in new defence organisation to improve procurement.
Space will be part of the investment plans, but Seraphim Space Investment Trust investee companies have technologies that can also be used in defence and other sectors.