Nelco has completed its $20 million investment in Lunar Holdco, Inc., which operates under the brand Elveo Mobile, to advance its presence in satellite direct-to-device (D2D) and Internet of Things (IoT) services. The company aims to expand commercial door-to-door services in India and South Asia, with a target to launch direct-to-device satellite services by 2028. The transaction was executed on August 17, 2026, pursuant to approvals from the Board of Directors and shareholders obtained on June 13, 2026.

Investment details

The following table summarises the key parameters of the transaction:

The investment is structured as a subscription to Compulsorily Convertible Debentures (CCDs) carrying a 7% annual compounded return. These instruments will convert into equity shares of Lunar in accordance with the terms specified in the CCD documentation. The percentage of shareholding acquired upon conversion is not presently determinable and will depend on specific conversion events. The investment does not confer control over Lunar.

Strategic context

Lunar Holdco, incorporated in Delaware, USA, on January 27, 2026, is a pre-revenue company formed from the merger of legacy entities Lynk Global and Omnispace. It is focused on developing a next-generation global Non-Geostationary Satellite Orbit (NGSO) network to support D2D, IoT, and mobile satellite connectivity services. The company is backed by strategic investors, including SES, one of the world's leading satellite communications operators.

The investment reflects Nelco's intent to establish a long-term partnership with Lunar for the provision, distribution, and commercialization of satellite-based D2D and IoT communication services in India and other countries. This move provides Nelco with strategic access to emerging satellite connectivity solutions, supporting growth opportunities in the satellite ecosystem.

Regulatory and operational status

Lunar has not yet commenced commercial operations in India. The commencement of services in India will be subject to obtaining applicable approvals, licenses, and authorizations under telecommunications, satellite communications, and other applicable laws. The investment by Nelco falls under the automatic route for foreign direct investment and is subject to applicable regulatory filings and compliances.

This disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Master Circular No. SEBI/HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026.

Nelco Limited announced a strategic partnership and investment in Lunar Holdco., Inc., doing business as Elveo Mobile, on August 17, 2026. The collaboration aims to bring next-generation Direct-to-Device (D2D) satellite connectivity to India and broader South Asian markets. This move positions the Tata Group company to expand its satellite communication services into emerging enterprise segments that require reliable, non-terrestrial mobile connectivity.

Under the agreement, Nelco will integrate Elveo’s global S-band non-geostationary orbit (NGSO) satellite network capabilities into its platforms. The partnership focuses on delivering seamless coverage and compute solutions directly from space to smartphones, IoT devices, and machines. This addresses coverage gaps in regions where terrestrial infrastructure is limited or insufficient for mission-critical operations.

Strategic Focus and Target Sectors

The collaboration targets specific high-value enterprise verticals where continuous connectivity is essential. Nelco plans to work with clients in the following sectors:

• Automotive telematics and fleet management
• Maritime operations and asset tracking
• Energy infrastructure monitoring
• Government and disaster response systems
• Remote operations and business continuity planning

P J Nath, Managing Director and CEO of Nelco, highlighted the technological advantages of the partnership. He noted that Elveo’s advanced on-board processing allows the network to adapt and scale with evolving customer needs. Nath stated that D2D represents the next growth wave for the global satellite communications market.

Expansion of Tata Group Ecosystem

Ramu Potarazu, CEO of Elveo, emphasized the expansion of intelligent communications solutions into new markets. He indicated that the partnership would not only serve the Indian market through Nelco but also facilitate collaboration with other Tata Group companies globally.

Adel Al-Saleh, Chief Executive Officer of SES and a strategic investor in Elveo, welcomed Nelco to the partner ecosystem. He expressed anticipation for the next phase of global connectivity enabled by this alliance.

What the Numbers Show

While no financial values were disclosed for the investment or deal size, the strategic alignment indicates a shift toward high-margin, technology-intensive service offerings. By leveraging Elveo’s existing satellite infrastructure rather than building proprietary hardware, Nelco can potentially accelerate time-to-market for D2D services. This asset-light approach to expanding into IoT and D2D sectors contrasts with traditional capital-intensive satellite deployment models, suggesting a focus on operational scalability over heavy upfront capital expenditure.

Regulatory and Forward-Looking Context

The press release includes standard forward-looking statements regarding future business performance. It notes that actual results may differ due to regulatory approvals, spectrum licensing requirements, and technology deployment timelines. Nelco stated it undertakes no obligation to update these statements except as required by SEBI and applicable stock exchange regulations.