BUZZ-AST SpaceMobile falls on planned $1 bln convertible bond sale
Alphabet Inc. Class A GOOGL | 0.00 | |
AT&T Inc T | 0.00 | |
Vodafone Group Public Limited Company Sponsored ADR VOD | 0.00 | |
AST SPACEMOBILE INC ASTS | 0.00 |
** AST SpaceMobile's ASTS.O shares down 12.5% to $58 post-market as it plans to raise capital
** Midland, Texas-based firm announces private offering of $1 bln convertible bonds (CBs) due Feb 1, 2024
** Co intends to use net proceeds for growth and secure additional access for its space-based cellular broadband network, including partnerships and/or acquisitions
** Also intends to use some proceeds to pay cost of capped call transactions to offset potential dilution
** ASTS, whose backers include Alphabet GOOGL.O, AT&T T.N and Vodafone VOD.L, has about $25.7 bln market cap
** Shares finished down 3.6% at $66.31 on Weds, down ~9% YTD
** Of 12 analysts covering the stock, recommendation breakdown is 5 "buy", 5 "hold" and 2 "sell"; median PT $82.12, per LSEG data