NYSE:SPCEAerospace & Defense
Why Virgin Galactic (SPCE) Is Up 13.2% After Share-Funded Debt Move And Test Flight Progress
In recent weeks, Virgin Galactic Holdings, Inc. has resumed VSS Unity glide flights, secured preliminary court approval for a shareholder derivative settlement, and moved to redeem up to US$30,523,315 of its 9.80% First Lien Notes due 2028 by issuing common stock, potentially easing near-term debt obligations but increasing equity dilution risk.
The decision to pay down mandatory principal on its First Lien Notes with shares rather than cash sheds light on Virgin Galactic’s liquidity...