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SpaceSPAC shares AST Space Mobile launches on Nasdaq

Illustration of Space Mobile satellite constellation.

AST Space Mobile

Stocks of broadband companies from satellites to smartphones AST Space Mobile Nasdaq began trading on Wednesday and closed the SPAC deal for the first time in the recent surge in space companies.

AST SpaceMobile is traded under the ticker ASTS with previous stocks Listed under SPAC New Providence Before the merger.

SPAC (or Special Purpose Acquisition Company) is a shell company designed to raise funds through an initial public offering with the aim of acquiring and publicizing a private company.

Shares on Wednesday rose 1.8% to $ 11.81 per share, up 7% in noon trading.

AST headquarters and mass production facility in Midland, Texas

AST & Science

Based in Midland, Texas, ASTSpace Mobile is building a satellite network, also known as a constellation, designed to deliver broadband directly from space to consumer smartphones.

Existing satellite networks require additional physical devices to connect to the service. Iridium Mobile satellite phone or SpaceX Starlink User terminal. The satellite communications market is becoming more and more crowded, OneWeb, Telesat,and Lockheed Martin Recent partnership with space-based 5G startup Omnispace..

“I can’t see other satellites [low Earth Orbit] A constellation like Starlink as a competitor. AST Chairman and CEO Abel Averan told CNBC’s Morgan Brennan on Wednesday.

The company, which raised about $ 120 million in private capital prior to the SPAC transaction, expects total revenue from the merger to be about $ 462 million. The new capital will fund the company’s network development, and AST will launch its next demonstration satellite, the Blue Walker 3, later this year. According to Aberan, AST will “soon” announce launch contracts with several rocket companies to put the satellite into orbit.

“This is a long-term opportunity … but in a very large addressable market, it’s a huge opportunity,” says Avellan.

The signing of an AST contract is the first in a recent series of space SPACs. Including AST Seven Space Companies Announce SPAC Merger In the last 6 months.

SpaceSPAC shares AST Space Mobile launches on Nasdaq

Source link SpaceSPAC shares AST Space Mobile launches on Nasdaq

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