Press release
AST SpaceMobile Announces Pricing of Private Offering of $1.0 Billion of Convertible Senior Notes Due 2036
MIDLAND, Texas--(BUSINESS WIRE)-- AST SpaceMobile, Inc. (“AST SpaceMobile”) (NASDAQ: ASTS), the company building the first and only space-based cellular
About this update from Ast Spacemobile, Inc.
[{"type":"text","content":" MIDLAND, Texas--(BUSINESS WIRE)--\nAST SpaceMobile, Inc. (“AST SpaceMobile”) (NASDAQ: ASTS), the company building the first and only space-based cellular broadband network accessible directly by everyday smartphones, designed for both commercial and government applications, today announced the pricing of $1.0 billion aggregate principal amount of convertible senior notes due 2036 (the “Notes”) in a private offering (the “Notes Offering”) to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). The size of the offering has been increased from the previously announced $850.0 million principal amount of Notes. The sale of the Notes to the initial purchasers is expected to settle on October 24, 2025, subject to customary closing conditions.\n\n\nThe Notes have an initial conversion price of approximately $96.30 per share of AST SpaceMobile’s Class A common stock, which represents a premium of approximately 22.5% to the last reported sale price of AST SpaceMobile’s Class A common stock on October 21, 2025.\n\n\nOption to Purchase Additional Notes:\n\n\nAST SpaceMobile also granted the initial purchasers of the Notes in the Notes Offering an option to purchase, for settlement within a 13-day period beginning on, and including, the date on which the Notes are first issued, up to an additional $150.0 million aggregate principal amount of Notes.\n\n\nUse of Proceeds:\n\n\nAST SpaceMobile estimates that the net proceeds from the Notes Offering will be approximately $981.9 million (or approximately $1,129.2 million if the initial purchasers’ option to purchase additional Notes is exercised in full), after deducting the initial purchasers’ discounts and commissions and estimated offering expenses payable by AST SpaceMobile. AST SpaceMobile intends to use the net proceeds from the Notes Offering for general corporate purposes, including without limitation funding the deployment of AST SpaceMobile’s worldwide constellation of satellites in anticipation of adding incremental strategic markets for AST SpaceMobile’s SpaceMobile Service.\n\n\nAdditional Details of the Notes:\n\n\nThe Notes will be senior, unsecured obligations of AST SpaceMobile. The Notes will accrue interest at an annual rate of 2.00%, payable semiannually in arrears on Januar...