Virgin Galactic Holdings Inc SPCE shares are trading lower Monday following reports suggesting founder Richard Branson will not put any more money into the business.
What To Know: Branson reportedly told the Financial Times that he will not invest more money into his space travel company, noting that his Virgin business empire doesn't have the "deepest pockets" any more.
Last month, Virgin Galactic announced a strategic realignment of company resources, which involved cutting jobs and suspending flights in order to preserve cash to develop its larger Delta Class ships for commercial spaceflight. Branson believes the company has enough cash to reach its goals.
"We don’t have the deepest pockets after Covid, and Virgin Galactic has got $1bn, or nearly. It should, I believe, have sufficient funds to do its job on its own," Branson told the Financial Times.
See Also: Why Alaska Air Shares Are Diving Today
SPCE Price Action: Virgin Galactic shares were down 14.5% at $2.00 at the time of publication, according to Benzinga Pro.
Photo: courtesy of Virgin Galactic.
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