AST SpaceMobile Announces Closing of Private Offering of $460.0 Million of Convertible Senior Notes Due 2032
AST SpaceMobile (NASDAQ: ASTS) has successfully closed a $460.0 million convertible senior notes offering due 2032, including the full exercise of the initial purchasers' $60.0 million option. This financing strengthens the company's balance sheet with nearly $1 billion in pro forma cash, enabling acceleration of their space-based cellular broadband network manufacturing plan.
The notes feature a 4.25% interest rate and seven-year maturity, with an effective conversion price of $44.98 per share. AST SpaceMobile implemented a capped call hedge to increase the effective conversion premium to 100% of the share price, minimizing potential dilution to approximately 3% at the effective conversion price. The company maintains flexibility to settle conversions in cash, shares, or a combination thereof.
AST SpaceMobile (NASDAQ: ASTS) ha concluso con successo un'offerta di note senior convertibili da 460,0 milioni di dollari rimborsabili nel 2032, compresa l'esercizio completo dell'opzione di acquisto iniziale di 60,0 milioni di dollari. Questo finanziamento rafforza il bilancio dell'azienda con quasi 1 miliardo di dollari in liquidità pro forma, consentendo l'accelerazione del loro piano di produzione per una rete cellulare a banda larga basata nello spazio.
Le note presentano un tasso d'interesse del 4,25% e una scadenza di sette anni, con un prezzo di conversione effettivo di 44,98 dollari per azione. AST SpaceMobile ha implementato una copertura dal chiamato cap per aumentare il premio di conversione effettivo al 100% del prezzo delle azioni, riducendo al minimo la potenziale diluizione a circa il 3% al prezzo di conversione effettivo. L'azienda mantiene la flessibilità di regolare le conversioni in contante, azioni o una combinazione di entrambi.
AST SpaceMobile (NASDAQ: ASTS) ha cerrado con éxito una oferta de notas senior convertibles por 460,0 millones de dólares con vencimiento en 2032, incluyendo el ejercicio completo de la opción de los compradores iniciales por 60,0 millones de dólares. Este financiamiento fortalece el balance de la compañía con casi 1 mil millones de dólares en efectivo pro forma, lo que permite acelerar su plan de fabricación de una red de banda ancha celular basada en el espacio.
Las notas tienen una tasa de interés del 4,25% y un vencimiento de siete años, con un precio de conversión efectivo de 44,98 dólares por acción. AST SpaceMobile implementó una cobertura de opción limitada para aumentar el premio de conversión efectivo al 100% del precio de las acciones, minimizando la dilución potencial a aproximadamente el 3% al precio de conversión efectivo. La compañía mantiene flexibilidad para liquidar conversions en efectivo, acciones o una combinación de ambos.
AST SpaceMobile (NASDAQ: ASTS)는 2032년 만기인 460억 달러 규모의 전환 사채 발행을 성공적으로 마쳤으며, 초기 인수자들의 6000만 달러 옵션을 전액 행사했습니다. 이 자금 조달은 회사의 재무 상태를 거의 10억 달러의 프로 포르마 현금으로 강화하여, 우주 기반의 셀룰러 광대역 네트워크 제조 계획을 가속화할 수 있게 합니다.
이 사채는 4.25%의 이자율과 7년의 만기를 가지며, 유효 전환 가격은 주당 44.98달러입니다. AST SpaceMobile은 주가의 100%에 해당하는 유효 전환 프리미엄을 높이기 위해 capped call 헤지를 시행하여, 유효 전환 가격에서 약 3%로 잠재적인 희석을 최소화했습니다. 회사는 현금, 주식 또는 이 둘의 조합으로 전환을 지급할 수 있는 유연성을 유지합니다.
AST SpaceMobile (NASDAQ: ASTS) a réussi à clore une offre de notes senior convertibles de 460,0 millions de dollars arrivant à échéance en 2032, y compris l'exercice complet de l'option de 60,0 millions de dollars des acheteurs initiaux. Ce financement renforce le bilan de l'entreprise avec près de 1 milliard de dollars en liquidités pro forma, permettant ainsi l'accélération de leur plan de fabrication pour un réseau cellulaire à large bande basé dans l'espace.
Les notes présentent un taux d'intérêt de 4,25% et une maturité de sept ans, avec un prix de conversion effectif de 44,98 dollars par action. AST SpaceMobile a mis en place une couverture de capped call pour augmenter la prime de conversion effective à 100 % du prix de l'action, minimisant ainsi la dilution potentielle à environ 3 % au prix de conversion effectif. L'entreprise conserve la flexibilité de régler les conversions en espèces, en actions ou une combinaison des deux.
AST SpaceMobile (NASDAQ: ASTS) hat erfolgreich ein Angebot über 460 Millionen Dollar an wandelbaren Schuldverschreibungen mit Fälligkeit im Jahr 2032 abgeschlossen, einschließlich der vollständigen Ausübung der Option der ursprünglichen Käufer über 60 Millionen Dollar. Diese Finanzierung stärkt die Bilanz des Unternehmens mit fast 1 Milliarde Dollar an pro forma Bargeld und ermöglicht die Beschleunigung ihres Herstellungsplans für ein weltraumbasiertes Mobilfunk-Breitbandnetzwerk.
Die Schuldverschreibungen haben einen 4,25% Zinssatz und eine Laufzeit von sieben Jahren, mit einem effektiven Umwandlungspreis von 44,98 Dollar pro Aktie. AST SpaceMobile hat eine capped call Hedge-Strategie implementiert, um die effektive Umwandlungsprämie auf 100% des Aktienpreises zu erhöhen und eine potenzielle Verwässerung auf etwa 3% beim effektiven Umwandlungspreis zu minimieren. Das Unternehmen hält die Flexibilität, Umwandlungen in bar, Aktien oder eine Kombination aus beidem zu begleichen.
- Secured $460.0 million in convertible notes financing
- Strengthened balance sheet with nearly $1 billion in pro forma cash
- Favorable 4.25% interest rate, lower than previous debt funding
- Implemented capped call hedge to limit shareholder dilution to approximately 3%
- Flexible conversion settlement options (cash, shares, or combination)
- Potential future dilution of existing shareholders
- Additional long-term debt obligation
- Interest payment obligations of 4.25% annually
Insights
AST SpaceMobile's $460M convertible notes offering represents a sophisticated financing strategy that significantly enhances the company's competitive position in the space-based cellular broadband market. The deal's structure is particularly noteworthy for several reasons:
The 4.25% interest rate is remarkably competitive for a pre-revenue space technology company, suggesting strong investor confidence in AST's business model and technology. The inclusion of capped call options demonstrates astute financial engineering, effectively doubling the conversion premium to $44.98 while limiting potential dilution to just 3%.
With nearly $1 billion in pro forma cash, AST SpaceMobile has secured a important competitive advantage in the capital-intensive satellite communications industry. This war chest provides several strategic benefits:
- Accelerated manufacturing and deployment of their satellite constellation, potentially reducing time to market
- Enhanced negotiating power with suppliers and launch providers
- Improved financial flexibility to weather potential delays or technical challenges
- Stronger position for securing commercial partnerships with mobile network operators
The seven-year maturity provides an extended runway for commercialization, while the flexibility to settle conversions in cash, stock, or a combination thereof gives management valuable optionality in managing future capital structure. This financing positions AST SpaceMobile as a formidable competitor in the emerging direct-to-smartphone satellite communications market.
Strengthens balance sheet with nearly
Structured efficiently with seven-year maturity and
“This successful financing enables us to accelerate our mission of delivering the world’s first space-based cellular broadband network," said Abel Avellan, Founder, Chairman, and CEO of AST SpaceMobile. “With nearly
Scott Wisniewski, AST SpaceMobile President, added “The convertible offering was structured with an attractive
As part of the transaction, AST SpaceMobile purchased a capped call hedge to increase the effective conversion premium to
AST SpaceMobile has the optionality to settle any conversions in cash, shares of its Class A common stock, or a combination of cash and shares to further influence potential dilution or cash obligations upon any future conversion of the notes.
About AST SpaceMobile
AST SpaceMobile is building the first and only global cellular broadband network in space to operate directly with standard, unmodified mobile devices based on our extensive IP and patent portfolio, and designed for both commercial and government applications. Our engineers and space scientists are on a mission to eliminate the connectivity gaps faced by today’s five billion mobile subscribers and finally bring broadband to the billions who remain unconnected. For more information, follow AST SpaceMobile on YouTube, X (Formerly Twitter), LinkedIn and Facebook.
Forward-Looking Statements
This communication contains “forward-looking statements” that are not historical facts, including statements regarding AST SpaceMobile’s plans for growth, the potential dilution or cash obligations relating to the conversion of the notes, the use of the net proceeds from the sale of the notes, and the future settlement of the conversion of the notes. These forward-looking statements can be identified by the use of forward-looking terminology, including the words “believes,” “estimates,” “anticipates,” “expects,” “intends,” “plans,” “may,” “will,” “would,” “potential,” “projects,” “predicts,” “continue,” or “should,” or, in each case, their negative or other variations or comparable terminology. These forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results.
AST SpaceMobile cautions that the foregoing list of factors is not exclusive. AST SpaceMobile cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. For information identifying important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to the Risk Factors in AST SpaceMobile’s Form 10-Q filed with the SEC on November 14, 2024, and Form 10-K filed with the SEC on April 1, 2024. AST SpaceMobile’s securities filings can be accessed on the EDGAR section of the SEC’s website at www.sec.gov. Except as expressly required by applicable securities law, AST SpaceMobile disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250127738172/en/
Investor Contact:
Scott Wisniewski
investors@ast-science.com
Media Contacts:
Allison
Eva Murphy Ryan
917-547-7289
AstSpaceMobile@allisonpr.com
Source: AST SpaceMobile, Inc.
FAQ
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