Virgin Galactic Acquires Full Control of Space Services JV

TL;DR

SPCE buys out JV for $4M to streamline spaceflight ops.

AI Summary

Virgin Galactic Holdings, Inc. announced on June 12, 2024, that it has entered into a definitive agreement to acquire a 100% stake in its joint venture, Virgin Galactic Space Services Limited, for $4.0 million. This acquisition aims to streamline operations and enhance the company's ability to scale its spaceflight services.

Why It Matters

This move consolidates Virgin Galactic's spaceflight operations under one roof, potentially leading to greater efficiency and a clearer path to scaling its commercial space tourism business.

Risk Assessment

Risk Level: medium — The acquisition involves a cash payment and could impact Virgin Galactic's cash reserves, while the success of the integration and scaling of operations remains a key factor.

Key Numbers

• $4.0M — Acquisition Cost (Virgin Galactic is acquiring its joint venture for this amount.)

Key Players & Entities

• Virgin Galactic Holdings, Inc. (company) — Registrant
• Virgin Galactic Space Services Limited (company) — Joint Venture being acquired
• $4.0 million (dollar_amount) — Acquisition price
• June 12, 2024 (date) — Date of agreement

FAQ

Key Financial Figures

• $0.0001 — nge on which registered Common stock, $0.0001 par value per share SPCE New York S

Filing Documents

• d813761d8k.htm (8-K) — 59KB
• d813761dex31.htm (EX-3.1) — 9KB
• d813761dex101.htm (EX-10.1) — 95KB
• 0001193125-24-161660.txt ( ) — 321KB
• spce-20240612.xsd (EX-101.SCH) — 3KB
• spce-20240612_lab.xml (EX-101.LAB) — 18KB
• spce-20240612_pre.xml (EX-101.PRE) — 11KB
• d813761d8k_htm.xml (XML) — 4KB

Forward-Looking Statements

Forward-Looking Statements This Current Report on Form 8-K contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the "Securities Act") and Section 21E of the Exchange Act. All statements contained in this report other than statements of historical fact, including, without limitation, statements regarding the expected timing of the Reverse Stock Split, the effects of the Reverse Stock Split, including the expected payment of cash in lieu of fractional shares, and the anticipated timing of the commencement of trading of the Common Stock on a split-adjusted basis, are forward-looking statements. The words "believe," "may," "will," "estimate," "potential," "continue," "anticipate," "intend," "expect," "strategy," "future," "could," "would," "project," "plan," "target," and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including but not limited to the risk that the Reverse Stock Split may impact the Company's results of operations, business operations and reputation with or ability to serve its stockholders and/or customers, and the trading prices and volatility of the Common Stock; the Reverse Stock Split may not be adequate to cure compliance with Section 802.01C of the NYSE Listed Company Manual or that the Company may otherwise fail to meet the NYSE's continued listing standards, and the othe

Financial Statements and Exhibits

Financial Statements and Exhibits. (d) Exhibits Exhibit No. Description 3.1 Certificate of Amendment to Certificate of Incorporation of Virgin Galactic Holdings, Inc. 10.1 Second Amended and Restated Virgin Galactic Holdings, Inc. 2019 Incentive Award Plan 104 Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: June 14, 2024 VIRGIN GALACTIC HOLDINGS, INC. By: /s/ Sarah Kim Name: Sarah Kim Title: Executive Vice President, Chief Legal Officer and Secretary