Terran Orbital Town Hall: Report
October 27, 2023
By Chris Forrester
Terran Orbital held a virtual Town Hall meeting for shareholders on October 26th in an attempt to quell dissent amongst certain shareholders. The event provided some key news, not all of it positive, but its share price recovered a little to 84 cents (€0.80). Last week, the share were trading at about 64 cents.
Marc Bell, co-founder, chair and CEO, told shareholders that this would be the first of many Town Hall meetings as part of a route to transparency.
He confirmed that a batch of announcements made over the past few days was worth $160 million in new business. Terran currently has over 120 satellites “under construction or recently launched” not including the 300 craft order from Rivada Networks.
“We are currently working approximately 80 opportunities for more than 2,800 satellite buses for approximately 40 different customers valued over at $2.7 billion, and that is just to start. Additionally, we are also working on opportunities for our new Components & Module sales segment with multiple customers for having a potential value of approximately $1.6 billion,” he said.
Bell admitted that the Rivada contract was a topic of “immense interest to you [and how the 300 satellite contract was to be financed]. Their money so far has largely been affiliated with a large sovereign that has not yet publicly announced their support of the project. To date, Rivada has paid us over $5 million to launch their programme. Through August, they have paid us in full on all amounts owed. Importantly, the contract and payments were structured—as they typically are—to ensure that Terran Orbital is paid in advance of work being performed.”
Other key elements:
- $70 million cash in hand
- $180 million expected from Rivada “in the near term”
- Terran lowed 2023 revenue guidance to “lower than $250 million”