Largest corporate investor in rocket startup Rocket Factory Augsburg finalized deal to go private
The German company OHB, the largest corporate investor in the German rocket startup Rocket Factory Augsburg, has finalized its deal with the investment company KKR to go private and delist OHB from the German stock market.
OHB announced in August 2024 the deal where KKR would buy shares not owned by the Fuchs family for 44 euros ($48.70) per share. Under the deal, the Fuchs family will maintain its controlling 65.4% ownership of OHB while KKR owns 28.6%. That combined 94% ownership will allow OHB to delist from the exchange, effectively taking the company private.
It appears that both companies are committed to OHB’s investment in Rocket Factory, and by getting OHB delisted it gives them greater flexibility in doing so. It also appears that Marco Fuchs, the CEO of OHB, had decided in the last few years that for rocket startups being a public company was counter-productive in many ways.
“We saw all these SPACs fail. We see very different valuations out there. So, it’s not a good place to be, in the public market, especially in the core business model of doing space projects,” he said at the Space Tech Expo Europe conference. “It’s not exactly what capital markets appreciate.”
In a sense, this deal appears to be a show of support for Rocket Factory, even though its first launch is seriously delayed due to a recent failed static fire test of its first stage that destroyed the stage.
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The German company OHB, the largest corporate investor in the German rocket startup Rocket Factory Augsburg, has finalized its deal with the investment company KKR to go private and delist OHB from the German stock market.
OHB announced in August 2024 the deal where KKR would buy shares not owned by the Fuchs family for 44 euros ($48.70) per share. Under the deal, the Fuchs family will maintain its controlling 65.4% ownership of OHB while KKR owns 28.6%. That combined 94% ownership will allow OHB to delist from the exchange, effectively taking the company private.
It appears that both companies are committed to OHB’s investment in Rocket Factory, and by getting OHB delisted it gives them greater flexibility in doing so. It also appears that Marco Fuchs, the CEO of OHB, had decided in the last few years that for rocket startups being a public company was counter-productive in many ways.
“We saw all these SPACs fail. We see very different valuations out there. So, it’s not a good place to be, in the public market, especially in the core business model of doing space projects,” he said at the Space Tech Expo Europe conference. “It’s not exactly what capital markets appreciate.”
In a sense, this deal appears to be a show of support for Rocket Factory, even though its first launch is seriously delayed due to a recent failed static fire test of its first stage that destroyed the stage.
The support of my readers through the years has given me the freedom and ability to analyze objectively the ongoing renaissance in space, as well as the cultural changes -- for good or ill -- that are happening across America. Four years ago, just before the 2020 election I wrote that Joe Biden's mental health was suspect. Only in the past two weeks has the mainstream media decided to recognize that basic fact.
Fourteen years ago I wrote that SLS and Orion were a bad ideas, a waste of money, would be years behind schedule, and better replaced by commercial private enterprise. Even today NASA and Congress refuses to recognize this reality.
In 2020 when the world panicked over COVID I wrote that the panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Only in the past year have some of our so-called experts in the health field have begun to recognize these facts.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
Please consider supporting my work here at Behind the Black.
You can support me either by giving a one-time contribution or a regular subscription. There are five ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation:
5. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above. And if you buy the books through the ebookit links, I get a larger cut and I get it sooner.
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