Astra’s Founders Propose Privatizing the Company

Astra’s Founders Propose Privatizing the Company

Astra tests a rocket at⁤ its headquarters on the San Francisco Bay⁣ in ‌Alameda, California.

Astra

The‍ founders of struggling space company⁤ Astra have offered to take the company private‍ at a value of about ⁣$30 million, according to a⁢ securities filing on Thursday.

Chris Kemp, chairman and CEO, and‌ Adam London, chief technology​ officer, delivered a proposal to the Astra‍ board⁣ of‍ directors on Wednesday to acquire all the company’s outstanding stock at⁣ $1.50 a share.

That price is ⁢a 103% premium to Wednesday’s closing price at 74 cents a ​share, which represents a market value of about $16 million.

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Astra’s rocket launching ⁤business has been on hiatus since a June 2022 mission failure. The company is running out of cash, with its⁢ acquired spacecraft propulsion business yet ⁢to ⁣drive meaningful quarterly revenue. Astra cut 25% of its ⁢workforce in early August to shift focus from its rocket development to its…

2023-11-09 08:28:39
Source from www.cnbc.com

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