Why Space Company Momentus Shares Are Taking Off Today

Shares of commercial space company Momentus Inc MNTS are soaring after it received a flight and payload integration services contract from NASA.

Momentus is among the 15 companies that NASA has selected to provide flight and payload integration services to advance technologies and procedures for operating in space.

The services provided by the companies will also include testing in high-altitude, reduced gravity, or other relevant environments.

The indefinite-delivery/indefinite-quantity base contract awards are firm-fixed-price with a total combined value of $45 million and a performance period of five years.

The services provided under the contract will be used by NASA and other government agencies.

The platforms that will be used for testing include suborbital rockets, high-altitude balloons, orbital spacecraft and satellites, and suborbital rockets.

“We are honored to be selected by NASA for this important opportunity to support the United States’ efforts in space,” said John Rood, CEO of Momentus.

In another development, Momentus entered into a securities purchase agreement with a single U.S. institutional investor for the purchase and sale of 4.62 million shares of common stock at a purchase price of $0.865 per share and warrant pursuant to a registered direct offering, resulting in total gross proceeds of approximately $4.0 million.

Price Action: MNTS shares are trading higher by 5.13% at $0.82 on the last check Tuesday.