Astra founders look to snap up rocket launch firm for fraction of 2021 valuation

Astra Space

09/11/2023 13:21

Nov 9 (Reuters) - Astra Space  ASTR.O  founders Chris
Kemp and Adam London proposed to acquire the small rocket maker
once valued at more than $2 billion for $27.8 million, according
to a regulatory filing on Thursday.
    The offer price of $1.50 per share represents a premium of
about 103%, based on the stock's closing price on Wednesday.
    The company's shares, which surged nearly 50% in premarket
trading, have fallen 99.6% since Astra went public in 2021 after
a few mission failures and delays in test flights in an industry
dominated by Elon Musk's SpaceX.    
    In August, Astra laid off a quarter of its workforce and
diverted focus from its rocket launch program, which was once a
core part of its business to satellite propulsion systems.
    Astra went public after merging with a special purpose
acquisition company in a deal that valued the firm at $2.1
billion.
    The company was considering selling a 51% stake in its
in-space propulsion business, among other strategic sale
options, Bloomberg News reported in October.

 (Reporting by Akash Sriram in Bengaluru; Editing by Shinjini
Ganguli)
 ((Akash.Sriram@thomsonreuters.com; On X as @HoodieOnVeshti;
+91-74116-87774;))