Sidus Space Announces Pricing of Public Offering

Rhea-AI Summary

Sidus Space, Inc. (SIDU) announces the pricing of an underwritten public offering of 1,321,000 shares of its Class A common stock at $6.00 per share, aiming to raise approximately $7.9 million for working capital and general corporate purposes.

Insights

Financial Analyst

The announcement by Sidus Space, Inc. regarding its public offering of Class A common stock is a strategic move aimed at raising capital for the company. The pricing at $6.00 per share, resulting in gross proceeds of approximately $7.9 million, is indicative of the company's valuation and market demand for its shares. For stakeholders, the critical factor to consider is the intended use of the net proceeds for working capital and general corporate purposes. This is a common practice for companies seeking to bolster their financial position and invest in future growth.

It is essential to scrutinize the terms of the offering, such as underwriting discounts and offering expenses, which will impact the net proceeds and thus the actual infusion of capital into the company. Investors should also note the role of ThinkEquity as the sole book-running manager, which suggests a level of confidence in their ability to manage the offering effectively. The reliance on a shelf registration statement indicates a pre-planned financing strategy, allowing for a more expedited process. The closing condition, scheduled for March 5, 2024, provides a clear timeline for the completion of the offering.

Market Research Analyst

When evaluating the impact of Sidus Space's public offering on the market, one must consider the broader context of the space and data-as-a-service industry. This sector has seen increased investor interest due to the growing commercialization of space and the expansion of data-related services. The offering's success will hinge on market perception of Sidus Space's growth potential and its ability to capitalize on industry trends.

Investors will likely assess the historical performance of Sidus Space's stock, the company's financial health and its strategic plans for utilizing the raised funds. The market's response to the offering can serve as a barometer for the company's reputation and the appetite for space-related investments. Furthermore, the pricing of the stock at $6.00 per share will be compared against industry peers, which can influence investor sentiment and the stock's performance post-offering.

Legal Expert

From a legal standpoint, the offering's compliance with the U.S. Securities and Exchange Commission (SEC) regulations is paramount. The use of a shelf registration statement on Form S-3 facilitates a quicker response to market conditions by allowing the company to sell securities to the public without the need for a separate SEC review for each offering. However, it's important for investors to understand that the offering is subject to customary closing conditions and regulatory scrutiny.

The availability of a preliminary prospectus supplement provides transparency about the offering's terms, which is crucial for informed investment decisions. It is also noteworthy that the company has taken care to clarify that the securities will not be sold in any jurisdiction where such an offer would be unlawful without proper registration or qualification under the relevant securities laws, thus adhering to legal and regulatory standards.

CAPE CANAVERAL, Fla.--(BUSINESS WIRE)-- Sidus Space, Inc. (Nasdaq: SIDU) ("Sidus" or the "Company"), a multi-faceted Space and Data-as-a-Service company, today announced the pricing of an underwritten public offering of 1,321,000 shares of its Class A common stock. Each share of Class A common stock is being sold at a public offering price of $6.00 per share for gross proceeds of approximately $7.9 million, before deducting underwriting discounts and offering expenses. All of the shares of common stock are being offered by the Company.

The Company intends to use the net proceeds from the offering for working capital and general corporate purposes.

The offering is expected to close on March 5, 2024, subject to customary closing conditions.

ThinkEquity is acting as sole book-running manager for the offering.

The securities will be offered and sold pursuant to a shelf registration statement on Form S-3 (File No. 333-273430), including a base prospectus, filed with the U.S. Securities and Exchange Commission (the “SEC”) on July 26, 2023 and declared effective on August 14, 2023. The offering will be made only by means of a written prospectus. A preliminary prospectus supplement and accompanying prospectus describing the terms of the offering has been filed with the SEC on its website at www.sec.gov. A final prospectus supplement and accompanying prospectus related to the offering will be filed with the SEC and made available on the SEC’s website. Copies of the final prospectus supplement and the accompanying prospectus relating to the offering may also be obtained, when available, from the offices of ThinkEquity, 17 State Street, 41^st Floor, New York, New York 10004.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Sidus Space

Sidus Space (NASDAQ: SIDU) is a multi-faceted Space and Data-as-a-Service satellite company focused on mission-critical hardware manufacturing; multi-disciplinary engineering services; satellite design, production, launch planning, mission operations; and in-orbit support. The Company is in Cape Canaveral, Florida, where it operates from a 35,000-square-foot manufacturing, assembly, integration, and testing facility focused on vertically integrated Space-as-a-Service solutions including end-to-end satellite support.

Sidus Space has a mission of Bringing Space Down to Earth™ and a vision of enabling space flight heritage status for new technologies while delivering data and predictive analytics to domestic and global customers. More than just a “Satellite-as-a-Service” provider, Sidus Space’s products and services are offered through its four business units: Space and Defense Hardware Manufacturing, Satellite Manufacturing and Payload Integration, Space-Based Data Solutions, and AI/ML Products and Services to support customers from concept to Low Earth Orbit and beyond. Sidus Space is ISO 9001:2015, AS9100 Rev. D certified, and ITAR registered.

Forward-Looking Statements

Statements in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute ‘forward-looking statements’ within the meaning of The Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements relating to the expected trading commencement and closing dates. The words ‘anticipate,’ ‘believe,’ ‘continue,’ ‘could,’ ‘estimate,’ ‘expect,’ ‘intend,’ ‘may,’ ‘plan,’ ‘potential,’ ‘predict,’ ‘project,’ ‘should,’ ‘target,’ ‘will,’ ‘would’ and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the uncertainties related to market conditions and other factors described more fully in the section entitled ‘Risk Factors’ in Sidus Space’s prospectus supplement and Annual Report on Form 10-K for the year ended December 31, 2022, and other periodic reports filed with the Securities and Exchange Commission. Any forward-looking statements contained in this press release speak only as of the date hereof, and Sidus Space, Inc. specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240229300249/en/

Investor Relations

Valter Pinto, Managing Director

KCSA Strategic Communications

sidus@kcsa.com

(212) 896-1254

Media

press@sidusspace.com

Source: Sidus Space, Inc.

FAQ

What is the pricing of the underwritten public offering announced by Sidus Space, Inc. (SIDU)?

Sidus Space, Inc. (SIDU) announced the pricing of an underwritten public offering of 1,321,000 shares of its Class A common stock at $6.00 per share.

How much is Sidus Space, Inc. (SIDU) aiming to raise through the public offering?

Sidus Space, Inc. (SIDU) aims to raise approximately $7.9 million through the public offering of its Class A common stock.

What will Sidus Space, Inc. (SIDU) use the net proceeds from the offering for?

Sidus Space, Inc. (SIDU) intends to use the net proceeds from the offering for working capital and general corporate purposes.

Who is acting as the sole book-running manager for the offering by Sidus Space, Inc. (SIDU)?

ThinkEquity is acting as the sole book-running manager for the offering by Sidus Space, Inc. (SIDU).

When is the expected closing date of the offering by Sidus Space, Inc. (SIDU)?

The offering by Sidus Space, Inc. (SIDU) is expected to close on March 5, 2024, subject to customary closing conditions.