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Satellite - to - sound connectivity providerLynk Globalwill head to the public food market via a uniting with a shell company direct by former professional baseball game player Alex Rodriguez .
The two ship’s company confirmed the deal on Monday after declare a non - binding LOI with Rodriguez ’s extra purpose acquisition company ( SPAC ) , Slam Corp , in December . According toan investor display file with governor , the deal could give Lynk a $ 913.5 million post - money evaluation .
Much of the Washington from the transaction will not come from the SPAC itself , however . In that same presentation , Lynk say around $ 800 million of the fresh working capital will come from existing stockholder equity rollover , $ 110 million from secret - investment - in - public - fairness ( PIPE ) and a scant $ 25 million from cash held in trust by the SPAC .
Lynk , which has alreadyentered some outside commercial markets including Palau , is looking to compete on an even larger scale of measurement with initiative like Starlink ’s emerging sit - to - electric cell , Apple ’s Globalstar partnership and AST Space Mobile ( which complete its own SPAC merger in April 2021 ) . Lynk has launched eight planet that it calls “ cell tower in space , ” but it ultimately plan to manoeuver a configuration of 5,000 birds in low Earth orbit . The next two are anticipated to launch in March .
The company is hope that its patented engineering science — which is compatible with any unmodified cell earphone , even those operating on 2 chiliad networks — will be able to compete with these larger and better - capitalized players . The business model is also a lilliputian different : Lynk plans to press with mobile internet operator ( MNOs ) and telecommunication provider , and these partnership will avail the company leverage these house ’ existing spectrum right field in orbit .
Essentially , Lynk would provide minimal coverage where networks have none , allowing hand brake messaging and other help anywhere on the satellite . Whether the internet charge extra for sure services ( though emergency connectivity would always be free ) , or offer it as a value - MBD in their existing pricing , or find some other way to capitalise on the feature of speech , is up to them .
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The company further says that its satellites are quick for mass production , taking just one calendar month each to put together now and cost around $ 650,000 to launch , according to the presentation .
The financing will be used to spring up output to 12 satellites per calendar month ; at that rate , Lynk told investors that it aims to have 74 satellite in service by the fourth quarter of 2025 , drive $ 175 million per month in annualized revenue .
A undulation of distance companies over the past two yr have headed to the public market by eschewing the traditional Initial Public Offering and merging with a SPAC instead . But the vast majority of those have badly missed their revenue projection ; many , include Spire , Momentus and Satisfy were given bloodline rally delisting warnings for failing to keep their stock price above $ 1 . Others , like Astra and Terran Orbital , only faced the threat of delist .
Slam Corp has also had its own difficulty : Despite the party conjure up $ 575 million from public investor in February 2021 , it has since had to reelect the vast majority of those investment firm due to ongoing shareholder redemptions after the company failed to find a promising merger prospect . Lynk anticipates just $ 25 million from that trust , which assumes a 96 % shareholder salvation rate .
But despite these track platter , Lynk plainly sees a unlike future tense for itself on the Nasdaq . The transaction is expected to complete sometime in the latter one-half of the year , whereupon Lynk will sell under the ticker symbolisation $ LYNK .
