Russia’s Success Rockets may float shares via SPAC in 2–3 years

MOSCOW, Dec 8 (PRIME) -- Russian private aerospace company Success Rockets will consider timing of its initial public offering (IPO) that it plans to carry out in 2–3 years after a merger with a special purpose acquisition company (SPAC), at the end of 2022, CEO Oleg Mansurov said on Wednesday during the FFIN Conference 2021 Technologies of the Future.

“An IPO is possible in two to three years,” he said, adding that it will depend on the financial indicators of the company.

When asked about the deadline for the company that focuses on production of small space vehicles, satellite constellations, light suborbital and orbital rockets, and analysis of space data to decide on timing of the IPO, he said that it would do it at the end of 2022.

“Regarding the IPO, a startup that doesn’t want an IPO is a bad one. We are looking into the European bourses now. We plan to float through a SPAC. All aerospace companies float through SPACs as a very large amount of financing is necessary at an early stage. We need about 3 billion rubles to make at least a small carrier rocket, and satellite internet needs investment of four to ten billion rubles,” Mansurov said.

He said that floatation of 100% of shares will create capitalization of U.S. $10 billion. If only the core businesses are floated, it would reach $3 billion. Success Rockets may spin off each project on its own, he said.

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