Richard Branson's Virgin Galactic Holdings Announced An Additional Issue
Billionaire Richard Branson's aerospace company Virgin Galactic Holdings made zero revenue in the second quarter of 2020 and increased its net loss to $62.52 million, compared with a loss of $44.1 million a year earlier. The company also announced that it would issue about 20.5 million new shares to raise to $529 million.
In April - June 2019, Virgin Galactic's revenue was $638 million, and in the first quarter of this year - $238 million.
In the fall of 2020, the company plans to conduct the first test flight into space with the participation of two pilots. If this and the next manned launch are successful, Branson himself will fly into space in the first quarter of 2021.
The company did not specify when it plans to launch tourist flights. As of July 30, more than 700 people have made a Deposit under the One Small Step program.
In 2019, Virgin Galactic held an initial public offering following the completion of its merger with Social Capital Hedosophia Holdings, a specialized company for targeted mergers and acquisitions (SPAC). Virgin Galactic became the first public company to organize space tourism.
Shares of Virgin Galactic are down 10.5% in preliminary trading on Tuesday. Over the past 12 months, the company's capitalization has more than doubled to $4.72 billion.