Intuitive Machines completes merger with SPAC as it goes public
Intuitive Machines, one of a handful of American companies building lunar landers for NASA and others, has completed its merger with a special purpose acquisition company (SPAC), thus becoming a publicly traded stock but raising less money than expected in the process.
Intuitive Machines said Feb. 13 it had closed its merger with Inflection Point Acquisition Corp., a SPAC that trades on the Nasdaq. The merged company, retaining the Intuitive Machines name, will trade on the Nasdaq starting Feb. 14 under the ticker symbol LUNR.
The companies announced the merger in September 2022, long after the mania surrounding SPACs has cooled both in the space industry and the overall market. Inflection Point had $301 million of cash in trust, and the companies said they had arranged an additional $55 million in investment from the SPAC’s sponsors and a founder of Intuitive Machines, along with $50 million CF Principal Investments LLC, an affiliate of Cantor Fitzgerald & Company. In an investor presentation linked to the merger announcement, the companies anticipated having more than $330 million in cash after transaction expenses.
However, in the Feb. 13 announcement that the merger had closed, the companies announced only $55 million of “committed capital from an affiliate of its sponsor and company founders.”
It appears that many investors in Inflection Point itself (30% of whom had voted against this merger) had pulled their money from the fund, depleting the $301 million that was originally promised. In addition, yesterday’s announcement made no mention of the $50 million that CF had also committed.
Essentially, the company’s future hinges on the success of its first lunar mission, presently scheduled for June. Should it succeed, the company should be able to replace from other investors the funds that it failed to raise in this merger. Should it fail, it is very possible it will go belly up, as it is likely it will find it difficult if not impossible to find further investment capital.
There is of course the possibility that NASA will keep the company afloat with additional funding, but if so it might be a case of throwing good money after bad, something our government is very good at doing.
Now available in hardback and paperback as well as ebook!
From the press release: In this ground-breaking new history of early America, historian Robert Zimmerman not only exposes the lie behind The New York Times 1619 Project that falsely claims slavery is central to the history of the United States, he also provides profound lessons about the nature of human societies, lessons important for Americans today as well as for all future settlers on Mars and elsewhere in space.
Conscious Choice: The origins of slavery in America and why it matters today and for our future in outer space, is a riveting page-turning story that documents how slavery slowly became pervasive in the southern British colonies of North America, colonies founded by a people and culture that not only did not allow slavery but in every way were hostile to the practice.
Conscious Choice does more however. In telling the tragic history of the Virginia colony and the rise of slavery there, Zimmerman lays out the proper path for creating healthy societies in places like the Moon and Mars.
“Zimmerman’s ground-breaking history provides every future generation the basic framework for establishing new societies on other worlds. We would be wise to heed what he says.” —Robert Zubrin, founder of founder of the Mars Society.
All editions are available at Amazon, Barnes & Noble, and all book vendors, with the ebook priced at $5.99 before discount. All editions can also be purchased direct from the ebook publisher, ebookit, in which case you don't support the big tech companies and the author gets a bigger cut much sooner.
Autographed printed copies are also available at discount directly from me (hardback $24.95; paperback $14.95; Shipping cost for either: $5.00). Just email me at zimmerman @ nasw dot org.
Intuitive Machines, one of a handful of American companies building lunar landers for NASA and others, has completed its merger with a special purpose acquisition company (SPAC), thus becoming a publicly traded stock but raising less money than expected in the process.
Intuitive Machines said Feb. 13 it had closed its merger with Inflection Point Acquisition Corp., a SPAC that trades on the Nasdaq. The merged company, retaining the Intuitive Machines name, will trade on the Nasdaq starting Feb. 14 under the ticker symbol LUNR.
The companies announced the merger in September 2022, long after the mania surrounding SPACs has cooled both in the space industry and the overall market. Inflection Point had $301 million of cash in trust, and the companies said they had arranged an additional $55 million in investment from the SPAC’s sponsors and a founder of Intuitive Machines, along with $50 million CF Principal Investments LLC, an affiliate of Cantor Fitzgerald & Company. In an investor presentation linked to the merger announcement, the companies anticipated having more than $330 million in cash after transaction expenses.
However, in the Feb. 13 announcement that the merger had closed, the companies announced only $55 million of “committed capital from an affiliate of its sponsor and company founders.”
It appears that many investors in Inflection Point itself (30% of whom had voted against this merger) had pulled their money from the fund, depleting the $301 million that was originally promised. In addition, yesterday’s announcement made no mention of the $50 million that CF had also committed.
Essentially, the company’s future hinges on the success of its first lunar mission, presently scheduled for June. Should it succeed, the company should be able to replace from other investors the funds that it failed to raise in this merger. Should it fail, it is very possible it will go belly up, as it is likely it will find it difficult if not impossible to find further investment capital.
There is of course the possibility that NASA will keep the company afloat with additional funding, but if so it might be a case of throwing good money after bad, something our government is very good at doing.
Now available in hardback and paperback as well as ebook!
From the press release: In this ground-breaking new history of early America, historian Robert Zimmerman not only exposes the lie behind The New York Times 1619 Project that falsely claims slavery is central to the history of the United States, he also provides profound lessons about the nature of human societies, lessons important for Americans today as well as for all future settlers on Mars and elsewhere in space.
Conscious Choice: The origins of slavery in America and why it matters today and for our future in outer space, is a riveting page-turning story that documents how slavery slowly became pervasive in the southern British colonies of North America, colonies founded by a people and culture that not only did not allow slavery but in every way were hostile to the practice.
Conscious Choice does more however. In telling the tragic history of the Virginia colony and the rise of slavery there, Zimmerman lays out the proper path for creating healthy societies in places like the Moon and Mars.
“Zimmerman’s ground-breaking history provides every future generation the basic framework for establishing new societies on other worlds. We would be wise to heed what he says.” —Robert Zubrin, founder of founder of the Mars Society.
All editions are available at Amazon, Barnes & Noble, and all book vendors, with the ebook priced at $5.99 before discount. All editions can also be purchased direct from the ebook publisher, ebookit, in which case you don't support the big tech companies and the author gets a bigger cut much sooner.
Autographed printed copies are also available at discount directly from me (hardback $24.95; paperback $14.95; Shipping cost for either: $5.00). Just email me at zimmerman @ nasw dot org.
Gov’t funding will most likely hinge on “the BIDEN FACTOR”! IF it benefits a BIDEN then it’s a GO!!