AST & Science Is Going Public Through A SPAC
AST a.k.a AST SpaceMobile is merging with New Providence Acquisition Corp., the combined company will be valued at $1.4 billion including debt and is expected to close in early 2021. New Providence have raised $232 million from a private placement to finance the transaction. The placement was led by Vodafone Group Plc, Rakuten Inc., American Tower Corp. and UBS Group AG’s hedge fund arm UBS O’Connor.
“Universal broadband access has become a global necessity, and we are uniquely positioned to leverage our innovative technology solution and efficient business model to democratize broadband cellular access across the globe,” said Abel Avellan, chairman and chief executive officer of AST SpaceMobile.
AST says it will provide broadband service from space to mobile phones and on Wednesday announced plans to partner with Vodafone to launch its commercial mobile communications service in 2023. .
“AST SpaceMobile represents a unique opportunity to invest in a pioneering company with revolutionary technology, access to a built-in customer base, and a flexible and scalable business model that addresses one of the largest challenges to global connectivity,” said Alex Coleman, chairman of New Providence.