Redwire Corporation (NYSE:RDW) saw its stock jump 9% on Wednesday after the space technology firm revealed it has secured a $44 million Phase 2 award from the Defense Advanced Research Projects Agency (DARPA) to advance its Otter Very Low Earth Orbit (VLEO) mission.
The newly awarded funding will support final manufacturing and the delivery of a spacecraft intended to demonstrate the world’s first air-breathing spacecraft system. The mission will be built around Redwire’s SabreSat platform—described by the company as an “Orbital Drone” optimized for operations in extremely low orbital altitudes.
“VLEO represents an exciting new frontier for defense, intelligence, and communications missions,” said Tom Campbell, President of Space Missions at Redwire. “With Otter and our SabreSat platform, we are delivering higher-performance missions at lower altitudes.”
The spacecraft is designed to validate new technologies that could extend spacecraft longevity and enhance performance when operating in low-altitude orbital conditions. DARPA’s contract award applies to the fourth quarter of 2025.
The deal further solidifies Redwire’s foothold in VLEO innovation, adding to its work as the prime contractor for the European Space Agency’s Skimsat mission and its digital engineering support for DeepSat’s planned constellation of VLEO satellites.
Redwire positions itself as a global provider of advanced space and defense technologies