After the company’s announcement of a $2.4 billion deal to construct communications satellites for Rivada Space Networks, Terran Orbital’s stock price increased during trade on Wednesday.
The spacecraft manufacturer will work out of Terran’s Tyvak subsidiary in Irvine, California, to design, produce, and launch 288 satellites for Rivada. For a total contract of 300 satellites, it will also construct 12 backup satellites and build some of the ground support.
As early as 2025, Rivada hopes to start launching the constellation. The company’s goal is to create a worldwide, interconnected satellite network that will serve the government, enterprise, and telecommunications sectors.
In a statement, Terran founders, chairman, and CEO Marc Bell said, “We are thrilled to partner alongside Rivada and look forward to growing out their LEO constellation.”
The price of Terran stock increased in trade by as much as 75% from its previous closing of $1.71 per share. Since making its debut just over a year ago, when it ended its first trading day at $11.80 per share, the stock has slowly declined.
Source (CNBC)
