Space company Momentus, once valued at more than  billion, is running dangerously low on money
Space company Momentus, once valued at more than  billion, is running dangerously low on money


An artist’s rendering of a Momentus Vigoride switch automobile deploying a satellite tv for pc in orbit.

Momentus

Space company Momentus warned shareholders in a securities submitting on Friday that the company is running out of money and doesn’t have a monetary lifeline.

Momentus, once valued at more than $1 billion before going public via a special purpose acquisition company in 2021, deserted plans for its subsequent mission, which was to fly satellite tv for pc clients in March. The company cited its “incapacity to assist persevering with operations for the anticipated launch date on account of the Company’s restricted liquidity and money steadiness.”

Momentus already laid off about 20% of its workforce at the top of December to scale back prices.

Despite the cuts, Momentus mentioned its “means to proceed to fund operations for the subsequent few weeks and months will likely be dependent on its means to boost fairness capital or interact in a strategic transaction.”

It famous it “doesn’t have definitive commitments at this time.”

Shares of Momentus fell more than 30% throughout buying and selling on Friday, with its market worth sliding to almost $5 million. The company obtained one other delisting warning from the Nasdaq earlier this month, having averted a delisting final 12 months by performing a reverse inventory break up.

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Momentus was amongst a dozen or so area corporations that debuted during the SPAC frenzy. The company was already on rocky footing earlier than it went public, with delayed missions after the departure of its founder and former CEO, its valuation minimize in half to much less than $600 million and an SEC settlement on account of allegations of falsifying results from a prototype spacecraft test.

The company has flown 4 missions to this point, deploying 17 satellites for purchasers. It pitched itself as a “final mile supply” service for spacecraft, focusing on the marketplace for small satellites, with its central product the Vigoride orbital switch automobile, or “area tug,” designed to ship satellites from a rocket to a selected orbit.

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