Summary by Moomoo AI
Virgin Galactic has entered into a new Open Market Sale Agreement with Jefferies LLC on November 6, 2024, enabling the sale of up to $300 million in common stock. Under the agreement, Jefferies will act as sales agent or principal, with a commission of up to 3.0% on sales, though higher rates may apply for principal transactions.The company plans to use the net proceeds to accelerate the development of its next-generation spaceflight fleet, including an additional mothership and third and fourth Delta Class spaceships. Funds may also be allocated for general corporate purposes and working capital.Concurrently, Virgin Galactic terminated its previous $400 million distribution agency agreement from June 22, 2023, with Credit Suisse Securities, Morgan Stanley, and Goldman Sachs. Prior to termination, the company had successfully raised $396.2 million through the sale of 12.8 million shares under that agreement.