Orbex, the British rocket developer once hailed as a pioneer in small satellite launches, has collapsed into administration with £49 million in debt. The failure comes after acquisition talks with European investor TEC broke down, leaving the government-backed company unable to secure a financial lifeline.

The bankruptcy deals a blow to UK ambitions in the commercial space race. Orbex had received substantial public funding to develop its Prime rocket at a £20 million Highlands spaceport. Its implosion leaves Britain without an operational orbital launch provider despite years of investment.

Administrators from Interpath Advisory now seek buyers for remaining assets. The collapse risks 100 jobs and underscores challenges facing European space startups competing against SpaceX and other well-funded rivals. TEC had reportedly considered acquiring Orbex's technology before walking away from negotiations.