By Manya Saini
(Reuters) -Northrop Grumman-backed house know-how startup Firefly Aerospace is focusing on a valuation of about $5.5 billion in its U.S. preliminary public providing, as investor urge for food for high-growth sectors exhibits indicators of a sustained rebound.
The Cedar Park, Texas-based maker of spacecraft and launch automobiles is aiming to promote 16.2 million shares, priced between $35 and $39 apiece, to lift as a lot as $631.8 million, a submitting confirmed on Monday.
The launch comes because the U.S. IPO market exhibits indicators of regular restoration in 2025 after a hunch of just about three years, as easing rates of interest, improved market circumstances and a backlog of high-growth firms revive investor curiosity.
A number of notable listings, together with neo-bank Chime and stablecoin issuer Circle, have rekindled optimism in current weeks, with extra companies getting ready to check the waters within the second half of the 12 months.
“Though it is not using on the hype of the present cryptocurrency and AI craze, Firefly nonetheless guarantees development, represents a diversified portfolio publicity and performs to a protection funding theme that has been scorching throughout each the IPO market and wider equities,” stated Samuel Kerr, head of fairness capital markets at Mergermarket.
SPACE RACE
A number of billionaires and personal companies are fueling a brand new house race within the U.S., pouring cash into rockets, satellites and lunar missions, together with Elon Musk’s SpaceX and Jeff Bezos’ Blue Origin.
With NASA relying extra on industrial partnerships and protection spending rising, the house business is quickly turning into a high-stakes area for technological dominance, nationwide safety and financial alternative.
Firefly Aerospace’s IPO aligns with two main funding themes, the commercialization of house exploration and the rising function of house in world protection, Kerr stated.
House startups continued to attract investor {dollars} within the April-June interval, which was the second-strongest quarter on file for funding, an business report confirmed earlier this month.
Firefly Aerospace succeeded in its first try to land on the moon in March with its uncrewed Blue Ghost spacecraft. It expects the Blue Ghost lander to fly annual missions to the moon.
The corporate notched a valuation of over $2 billion in a November 2024 funding spherical, when it had raised $175 million.
Earlier this 12 months, U.S. protection contractor Northrop Grumman additionally invested $50 million within the startup.
Firefly Aerospace has cast collaborations with business giants Lockheed Martin and L3Harris as properly.
It’ll commerce on the Nasdaq beneath the ticker image ‘FLY’ after the IPO closes.
