Terran Orbital is raising more cash
September 19, 2023
By Chris Forrester
Satellite builder Terran Orbital, flushed with the success after successfully seeing 10 of its satellites launched by SpaceX on September 2nd for the US Space Development Agency, is raising more cash.
Terran Orbital, based in Boca Raton Florida, is to sell 23.2 million shares at $1.40 a share. The offering will close on September 21st. The gross amount raised will be $32.5 million. Terran is listed on the New York Stock Exchange and its shares trade at about $1.46 per share.
Terran Orbital expects to use the net proceeds of the offering for general corporate purposes, including capital expenditures, working capital, research and development, and general and administrative expenses, and maintenance of the liquidity covenant in the Company’s debt documents.
The company says it currently intends to retain our future earnings, if any, to fund the development and growth of our businesses and do not anticipate that we will declare or pay any cash dividends on our capital stock in the foreseeable future.
Terran Orbital is a manufacturer of satellite products primarily serving the aerospace and defence industries. Terran Orbital provides end-to-end satellite solutions by combining satellite design, production, launch planning, mission operations, and on-orbit support to meet the needs of military, civil and commercial customers.
Terran is busy building satellites. It is supplying 42 of its satellite ‘core’ buses for Lockheed Martin which are due for launch in 2024. It has a major contract from Rivada Space to build an initial 300 out of a potential 600 craft order, worth $2.4 billion, and due to start launching in 2025.
Terran opened its new 60,000 sq. ft. factory in Irvine, California on September 11th.