SMART DIGI TECH (ASX: 01159) has announced the signing of a cooperation agreement with a partner on July 21, 2026. The agreement outlines plans to jointly establish a subsidiary in Hong Kong dedicated to constructing a constellation of low Earth orbit remote sensing satellites. The group will hold no less than 51% of the equity in the new subsidiary.

Broad Scope of Collaboration

The partnership encompasses a wide range of activities related to the satellite project. These include the overall planning and design of the satellite constellation, the research, development, and manufacturing of the low Earth orbit remote sensing satellite systems, and the development of artificial intelligence payloads for the satellites. Further areas of cooperation involve the construction, operation, maintenance, and data reception of satellite ground receiving stations, equity investments in aerospace technology industrial projects, deep processing of satellite remote sensing data and industry application services, aerospace technology consulting, cross-border international trade of aerospace equipment, and global aerospace project investment and financing collaboration.

Strategic Alignment and Future Prospects

The company's board of directors believes that undertaking this business aligns with the group's overall strategy of expanding its business scope and enhancing operational sustainability. The company stated it continuously explores new business opportunities and possibilities with the aim of delivering higher returns to its shareholders. The group will make further announcements regarding its developments at the appropriate time, in compliance with the requirements of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited, where applicable.