Satellite Company Terran Orbital Announces SPAC Deal: What Investors Should Know

A leading developer of small satellites is going public via a SPAC merger announced Friday morning.

The SPAC Deal: Terran Orbital is merging with Tailwind Two Acquisition Corp TWNT in a deal valuing the company at a pro forma equity value of $1.58 billion.

A PIPE of $50 million includes investments from AE Industrial Partners, Beach Point Capital, Daniel Staton and Lockheed Martin Corporation LMT.

The deal is expected to close in the first quarter of 2022. Terran Orbital plans to list with the ticker LLAP on the NYSE.

About Terran Orbital: A leader in small satellites, Terran Orbital is a key supplier for the military, intelligence community and civil and commercial customers.

“Terran Orbital is the largest independently-owned manufacturer of small satellites in the United States, serving national interest and enabling our customers to leverage the strength of our platform and insights,” Terran Orbital CEO and co-founder Marc Bell said.

Related Link: October SPAC Merger Calendar: A Look At Upcoming Votes, Stocks To Watch

Growth Ahead: The company plans to launch one of the most advanced earth observation constellations of small satellites, which could provide real-time earth imagery as a service.

A $300 million manufacturing facility on the “Space Coast of Florida” was announced on Sep. 27, which will be more than 600,000 square feet.

“The newly constructed facility is expected to become one of the most advanced, largest vertically integrated satellite manufacturing facilities in the world, capable of producing over 1,000 satellites and space vehicles annually,” the company said.

Terran Orbital plans to create a new SaaS business, with its take on software as a service being “satellites-as-a-service.”

Price Action: TWNT shares are up 0.70% to $10.01 Friday morning at publication.

Image by PIRO4D from Pixabay