Nelco Limited, a company associated with Tata Group that provides satellite communication services, invested $20 million (or 191.2 crore rupees) in Lunar Holdco Inc on Monday, acquiring a strategic but minority stake.
Lunar Holdco offers 'direct-to-device' (D2D) mobile satellite communication solutions under the Elveo Mobile brand. According to an agreement filed with the BSE, Nelco will subscribe to convertible bonds (CCDs) of Delaware-registered Lunar Holdco. These bonds carry an annual compound yield of 7 percent and can be converted into shares of the American firm upon the occurrence of certain events.
The majority of the company's shares remains held by the global satellite service provider SES. PJ Nath, Managing Director and CEO of Nelco, told Business Standard that the company aims to become one of the first players in the D2D satellite services market in South Asia, as well as in India. He clarified that Nelco will operate in the B2B segment, where satellite services will be integrated with 2G, 3G, 4G, or 5G mobile devices, as well as IoT devices, but for consumer services, the company plans to collaborate with telecommunication operators, avoiding the B2C segment.
Nath noted that Elveo's advanced network architecture opens up new market opportunities and ensures seamless coverage for Nelco in India, as well as in South Asian countries and globally for certain enterprise sectors. He emphasized that D2D is the next wave of growth for the global satellite communications market.
The company plans to begin providing services in markets such as India, Bangladesh, and Sri Lanka by early 2028, with trials potentially starting by the end of 2027. The launch timelines are subject to regulatory approvals permitting D2D communication. He added that India should be one of the first markets, although some segments may be offered globally.
Ramu Potarazu, CEO of Elveo, a startup formed in early 2026 through the merger of Lynk Global and Omnispace, stated that Nelco will offer Elveo solutions to new corporate markets, including the automotive industry, telecommunications, telecom infrastructure, and other critical sectors. Nelco will provide next-generation connectivity solutions and computing power directly from Elveo satellites across various sectors such as automotive, maritime, energy, and public administration in the Indian and South Asian markets. Elveo's satellite technology includes advanced onboard processing designed to adapt, iterate, and scale according to changing customer needs.
Nelco will collaborate with enterprises across all segments to integrate powerful Elveo connectivity solutions into their various platforms. With real-time communication and computing capabilities, Nelco and Elveo can provide universal connectivity and close coverage gaps for a wide range of enterprise-level solutions, including vehicle telematics, fleet and asset tracking, infrastructure monitoring, remote operations, disaster response, and business continuity.
