For Sivers Semiconductors, a Promising Order and Nasdaq Ambitions Are Shadowed by a Criminal Inquiry

Sivers Semiconductors has landed an $8.2 million production order from ALL.SPACE, a specialist in tactical satellite communications whose clients include the U.S. Army and Navy. The contract, which runs through 2027, marks the shift from development to series production of Ka-band beamforming chips (BFICs) capable of receiving signals from low, medium and geostationary orbits simultaneously. For modern defense systems that require stable connections regardless of which satellite is overhead, the technology is critical.

That positive headline, however, sits uneasily alongside a raft of troubles that have sent the stock into a tailspin. Shares fell 7.12% on Tuesday to EUR 7.30, extending the seven-day loss to nearly 16%. The slide follows a short squeeze that had driven the stock roughly 54% higher over the past month — a gain that is now rapidly unwinding. Compared with the year high of EUR 10.23 reached on June 3, the stock is down nearly 29%, and annualized volatility has topped 250%. The 52-week low of EUR 0.27, touched in March, underlines the dramatic swings.

What is spooking the market is a toxic mix of criminal investigation, short-seller attacks and insider selling. The Swedish Economic Crime Authority is probing a suspected information leak about a planned Nasdaq listing — details of which appeared online prematurely. Meanwhile, short seller Ningi Research has accused the company of aggressive revenue recognition, claiming roughly 31% of reported 2025 revenues are questionable. Management, Ningi alleges, classified research grants as commercial sales. U.S. law firms are already examining the grounds for class-action suits.

Should investors sell immediately? Or is it worth buying Sivers Semiconductors?

Internal confidence looks shaky too. Harish Krishnaswamy, head of the subsidiary Sivers Wireless, sold around 1.39 million shares in late May, netting nearly SEK 100 million. No insider has bought stock in the past three months; all disclosed transactions have been sales. The operational backdrop offers little relief: first-quarter revenue fell 22% year-on-year, and the operating loss widened significantly. Management blames delays in U.S. defense budgets.

On the positive side of the ledger, the ALL.SPACE order provides fundamental substance to the stock’s valuation story. Furthermore, ALL.SPACE itself is being acquired by NYSE-listed York Space Systems, which wants to add ground terminals and multi-domain satellite links to its portfolio. That could turn Sivers’ key customer into a larger, more stable defense player. CEO Vickram Vathulya called the contract a milestone and a validation of the company’s beamforming platform. ALL.SPACE CEO Paul McCarter praised the joint technology’s performance with global clients.

Yet the pipeline is swelling even amid the turmoil. Sivers reports that its potential order book has grown to $799 million, driven by demand for photonics and satellite communication. Soaring expectations, however, now meet hard questions. Next Monday, the company’s annual general meeting in Stockholm will be pivotal. On the agenda is a request for authorization to issue new shares and convertible bonds — a capital raise that could dilute existing shareholders by an estimated 15%. The funds are intended to finance a secondary listing on the Nasdaq, which requires Sivers to restate its last two annual reports under U.S. accounting standards.

The board will face shareholders demanding clarity on both the accounting methods and the timeline for the U.S. expansion. With a criminal probe under way, short sellers circling and insiders cashing out, Sivers must convince the market that its defense-backed growth story carries more weight than the accumulating risks.

Ad

Sivers Semiconductors Stock: New Analysis - 10 June

Fresh Sivers Semiconductors information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.

Read our updated Sivers Semiconductors analysis...

en | SE0003917798 | SIVERS | boerse | 69511446 |