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• Virgin Orbit celebrated going public by bringing a rocket to show off in New York City
• Virgin Orbit merged with special purpose acquisition company NextGen Acquisition Corp. II to go public
Richard Branson’s satellite-launching company Virgin Orbit shares soared as much as 26% on Friday as the company celebrated going public by bringing a rocket to show off in New York City.
“There’s a rocket in Times Square, but there happens to be [another] one on an airplane right now ... we’re doing stuff and I think, at the end of the day, that’s what matters,” Virgin Orbit CEO Dan Hart told CNBC.
Virgin Orbit, which is a spin-off of Virgin Galactic, was privately held by conglomerate Virgin Group and Abu Dhabi sovereign wealth fund Mubadala with a minority stake.
Funds raised
Virgin Orbit merged with special purpose acquisition company NextGen Acquisition Corp. II to go public.
The company had expected to generate about $380 million through the merger but was able to raise just $68 million due to the high rate of shareholders exercising redemptions.
Virgin Orbit, though raised additional funds through its private investment in public equity (PIPE) round. The company generated $160 million through the PIPE from investors including Boeing, AE Industrial Partners, Virgin Group, and Mubadala.
The total fund raised by Virgin Orbit was $228 million.
Virgin Orbit has become one of the rocket-builders who went public via SPACs in the last year, along with Astra and Rocket Lab.
Virgin Orbit uses air-launch method rather than the ground-based system to launch its rockets.
Picture Credits: CNBC