A mixed bag for Avio, between the successful launch of Ariane 6 and the SpaceX effect

 (Il Sole 24 Ore Radiocor) - A mixed day for Avio on the Milan Stock Exchange, in the wake of the first successful flight of the Ariane 6 with P160 boosters: shares in the launch vehicle company spent the first part of the trading session rising sharply before falling back after Wall Street opened, following SpaceX’s pullback.

The share price rose this morning following the launch of Ariane 6, which – on the eve of the launch – placed 36 Amazon Leo satellites into low Earth orbit. “Arianespace is currently working through its Ariane 6 mission portfolio, which comprises a series of 18 flights intended to launch satellites for Amazon’s Leo mega-constellation,” note analysts at Banca Akros. “Whilst the first two flights were completed using Ariane 6 rockets equipped with the P120 booster, the remaining 16 will require the more powerful variant, the P160.” Amazon is due to complete the deployment of its constellation of over 3,200 satellites, including those launched aboard Ariane 6, by 30 July 2029.

“This is clearly excellent news,” the experts continue, noting that Ariane 6 “is essential to ensuring Europe has independent access to space”. “The reliability demonstrated yesterday will enable Arianespace and, indirectly, Avio as a key supplier, to honour its commitment to Amazon Leo,” they conclude, emphasising that this boosts confidence “in the forecasts regarding the volume of Avio’s space-related activities”. The launch, Intermonte confirms, is “positive news for Avio”. “The success of the first operational use of the P160 reduces the execution risk associated with the evolution of the Ariane/Vega family and confirms the company’s strategic role in the development of European propulsion systems,” notes Sim.