Font Size

- Aa +

Sun 27 Oct 2019 12:12 PM

Font Size

- Aa +

Mubadala-backed Virgin Galactic to begin trading on Monday

UBS estimates that the space industry could triple in size from $340 billion to $926 billion by 2040

Mubadala-backed Virgin Galactic to begin trading on Monday

Virgin Galactic said that shareholders had approved a merger with Social Capital Hedosophia to create Virgin Galactic Holdings, which will trade under the symbol ‘SPCE’.

Richard Branson’s Mubabala-backed Virgin Galactic will become the first publicly-listed space tourism firm when it begins trading on the New York State Exchange on Monday, the company has announced.

In a statement, Virgin Galactic said that shareholders had approved a merger with Social Capital Hedosophia to create Virgin Galactic Holdings, which will trade under the symbol ‘SPCE’.

Following the transaction, Virgin Galactic had a market capitalisation of $2.3 billion, the statement added.

“With our proprietary spaceflight system, special airspace access at Spaceport America, globally-recognised brand and broad investor interest, I believe VG is ideally positioned to capitalise on the fast-growing, multibillion-dollar commercial space market and ultimately open space to thousands of new astronauts,” Branson said. “We look forward to the future.”

In a November 2018, UBS estimated that the space industry could triple in size from $340 billion to $926 billion by 2040.

“Today is the start of a new era for human spaceflight industry,” Virgin Galactic CEO George Whitesides said. “Now that VG is a publicly traded company, anyone can invest in a human spaceflight company that is striving to truly transform the market and be part of the excitement of the commercial space industry.”

The Virgin statement said Virgin Galactic has received over $450 million of primacy proceeds.

The company already has over 60 customers – and $80 million in deposits – prepared to pay $250,000 each to be blasted into space.

For all the latest market news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.